Daily Plan 5.16.24
Welcome back everyone!
First, we will cover the recap for today's session, then move on to tomorrow's analysis.
Indices:
The indices moved exactly as I expected, which was demonstrated in today's chat room, accessible to all paid subscribers and readers of last night's newsletter. The CPI release bounced precisely off the long levels on both the E-mini and Nasdaq. Subsequently, the price hit both long targets, capturing nearly the entire movement in today's session. Here are some of the highlights covered in the chat:
Now take a look at the charts from the session:
Commodities:
Oil has sold down from the short level for three consecutive sessions, consistently reaching the short target. Additionally, the short target was just above the low of the day before it posted a strong rebound through the long level, nearly reaching the long target.
Gold experienced a picture-perfect session, with little to no downside below the long level, which triggered a massive rally right up to the long target—the high of the day. A total of 37 handles of upside were gained in today's session alone.
Stocks:
AVGO has been a standout performer this week, with contracts surging from $3.70 to over $42—an increase of more than 1,000%—and there is still potential for further gains.
MSFT continued yesterday's rally, similar to AVGO, bringing in nearly 300% on contracts that rose from $2.29 to over $6.
GE had a strong start after being highlighted in yesterday's newsletter. I believe we are just witnessing the beginning of a parabolic move, with plenty more upside potential.
BA is experiencing a shaky start, similar to SMCI, but still remains in a favorable position for a turnaround. SMCI, on the other hand, seems too far gone for recovery, which is a missed opportunity. I will likely be setting up another short position soon but will need to give this situation more time.
BABA is beginning to rebound after posting dismal earnings, with contracts immediately jumping over 100%. It will need a bit more time before potentially experiencing another significant downturn.
CSCO posted earnings after the close that exceeded my earnings release (ER) target. Contracts are set to open well in the green, assuming the gap up holds.
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