Daily Plan 4.12.24
Welcome back everyone!
First, we will cover the recap for today's session, then move on to tomorrow's analysis.
Indices:
The Emini and Nasdaq experienced sharp rallies, reaching their long targets. Beginning with the Emini, the long level of 5195 provided robust support, leading to a 60-handle rally that broke above the 5234 long target. Meanwhile, the Nasdaq had an even more robust session, as the long level of 18133 resulted in an upside of 390 handles, surpassing the 18338 long target.
Commodities:
Oil exhibited weakness today, which came as no surprise, especially as indices reversed off the lows, while Gold witnessed a sharp rally. The market is currently sending mixed signals on inflation: while Oil is selling off, Gold, being the hedge, is experiencing significant upside. Throughout the session, Oil managed to stay below the short level, setting the low just above the short target.
Gold had a monster session, just as I expected, with prices now sitting at a new all-time high. My prediction for this move by the end of the week has been realized a day earlier than anticipated. However, I believe this surge in Gold is indicative of a growing position among hedgers, who are anticipating selling pressure to emerge in the overall markets. This sentiment shift is likely to be reflected in the COT Reports. Looking ahead, I foresee Oil finding support in the near future, while Gold maintains its strength to the upside.
Stocks:
AMD, MSFT, META, and TSLA all exhibited weaker moves to the upside today, yet they respected the long levels, presenting some decent opportunities. Following the release of the PPI data, which did not reflect the strength in inflation seen in the CPI the previous day, prices staged a strong rebound.
On the other hand, AAPL, AMZN, GOOGL, and NVDA all experienced robust rallies, with AAPL leading as the strongest performer of the session. The long levels facilitated swift movements, establishing lows that presented dip-buying opportunities across the board.
Both STZ and FAST saw moves right to the bull and bear target bringing large moves to contracts, here are the charts:
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