Markets closed lower on Tuesday, with the S&P dropping .22%, albeit off the lows of the session. Asia markets finished in the red overnight while Europe indexes are higher this morning. U.S. futures are pointing to a green open while the Dollar, Yields, Oil, and Gold are all lower.
And here is why Rant from yesterday if you missed it: https://www.optionmillionaires.com/jbs-afternoon-rant-september-19th-2023/
It was another bumpy session on Tuesday, with stocks selling off into the noon hour before finding some support and recouping most of the losses. Today will be a big day and likely set the tone for markets for the next few weeks. The Fed Statement will come out at 2pm followed by a presser from Powell. Any surprise cut or hike and I think markets will come under pressure. A dovish spin by Powell and maybe markets can find some footing. The SPY came down right to that $440 handle yesterday before bouncing and looks like strong support. Would want to see that hold today on any weakness. The IWM also broke, and closed under, its 200dma for the first time since June. Will be watching that one closely as well:
And IWM:
I went and added some IWM puts as the market was selling off in the morning and as the IWM broke its 200dma. Don't have my bear suit on just yet, but a little concerned with the recent action and don't want to be caught with my pants down if the Fed disappoints today. Will likely hold those puts into the Fed at minimum.
WW rallied nearly 7% yesterday on no news to speak of, just like last week. Some of it could have been attributed to the higher than average call volume hitting the tape on the weekly strikes. Some of also maybe some FOMO in anticipation of Oprah's 'Candid Conversation' after the close today:
https://x.com/OMillionaires/status/1704200978113667094?s=20
The stock had its highest close sine Feb 10th, 2022. Think $13+ comes this week and maybe higher if there is any surprises from Oprah - like adding to her stake or a larger role within WW. Will continue to hold my calls and may look for more strikes if the stocks really picks up steam today:
ISRG closed slightly in the green yesterday. Still like it for a move to $310+ but will need some more continuation today:
LULU broke under that $382 handle that was key support after the open yesterday.. Sure enough it reversed course into the green. This morning it received a Buy rating from Needham with a $470 PT. Will likely have the stock gapping at the open. If markets find weakness today, think LULU will be very susceptible to retesting yesterdays lows and eventually that $370 mark:
Another flat close and Doji candle on GNRC. Will need to get going here today for my calls to come back to life:
BIDU has been just bleeding since the announcement of approval for its AI apps from the China govt. It has closed down for 6 straight sessions. Not adding anything more here just yet. Would want to see it back over that $135 handle:
ROKU is back in the spotlight after closing lower in 6 straight sessions as well. If that $73 holds, think $78+ can come. May look for next week strikes:
And this is what I am watching today: ROKU TZA, ULTA. WIX, ISRG, ALGN, SPOT, NFLX, OKTA, GNRC, VKTX., GLD, GLL, LRCX, NVDA, CMG, QQQ, and TEAM.
Let's have a great day!
-JB