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Market Rap 05/23/23 by CTG

SPY / QQQ / Vix

SPY 5 days, hourly candles S&P futures pulling back to the lower end of yesterdays range 417.91 the pre mkt low so far

420.35 the corresponding futures high from yesterday evening

SPY 3 months and 1yr daily candles Potential reversal doji candle put in yesterday - an open, and most importantly a close below 418.64 would confirm. Bears need to break the lows from yesterday to see any follow thru and get daily consolidation underway. On the other side of the coin, bulls will look to hold those lows and pivot off them for daily bull flag potential. (resistance)

420.39-420.72

421.22 open gap going back to 8/19

425.26

425.50 small open gap (support)

417.35 the low from the past two trading days

414.68 the daily 12ema(white)

412ish the biggest chunk of recent volume profile

410.23

408.64

407.27 open gap


QQQ 5 days, hourly candles Nasdaq futures also pulling back to test yesterdays lows 336.37 the pre mkt low so far

339.35 the corresponding futures high from yesterday evening

QQQ 3 months daily candles and 3yr weekly candles to find the next areas of past resistance and price action Big tech bulls continue to stay resilient and resist any pullbacks, with the daily RSI hanging out in overbought territory. If bulls hold above the last couple days of lows and avoid any daily consolidation, daily bull flag in play. On the weekly chart, there's some volume profile resistance in this 336-340ish area, then 347.87 is a weekly high going back to mid April '22.(resistance)

338.67 the high from yesterday

340ish some weekly volume profile resistance

347.87 from April '22 (support)

336.24 the low from yesterday looking to get tested first thing

335.43 Fridays low

331.50

329.52 the daily 12ema(white)

327.04

322.94 the last daily "higher low"


June Vix futures 3 months, daily candles Daily inside bar so far today - 20.15 needed for the bull break, 19.30 needed for the bear break

Spot Vix 3 months, daily candles Yesterdays move topped out yet again in that low 18 area; Inside bar so far today with 18.13-18.30ish needed for the bull break; 16.82 needed for the bear break.

$DXY 3months, daily candles Back up testing recent highs

https://www.briefing.com/stock-market-update [BRIEFING.COM] S&P futures vs fair value: -12.00. Nasdaq futures vs fair value: -50.00.The S&P 500 futures are down 12 points and are trading 0.3% below fair value. The Nasdaq 100 futures are down 50 points and are trading 0.4% below fair value. The Dow Jones Industrial Average futures are down 91 points and are trading 0.2% below fair value. Yesterday's meeting between President Biden and House Speaker McCarthy did not result in a debt ceiling deal, but both sides will continue to negotiate. Overall, market participants continue to trade with some hesitancy as the S&P 500 continues to run into resistance at the 4,200 level. Flash Manufacturing PMI readings from Germany and the U.K. missed expectations, pointing to a deepening contraction in activity while France's reading was ahead of estimates, but it also reflected contraction. Treasury yields are inching higher. The 2-yr note yield is up four basis points to 4.38% and the 10-yr note yield is up two basis points to 3.74%. The U.S. Dollar Index is up 0.3% to 103.54. Market participants will receive the following economic data today:

  • 9:45 a.m. ET: May IHS Markit Manufacturing PMI - Prelim (prior 50.2) and IHS Markit Services PMI - Prelim (prior 53.6)

  • 10:00 a.m. ET: April New Home Sales (Briefing.com consensus 660,000; prior 683,000)

In corporate news:

  • PacWest (PACW 7.95, +1.10, +16.1%): continues to rally after yesterday's big gains

  • Lowe's (LOW 200.14, -3.01, -1.4%): beats by $0.22, beats on revs; lowers FY24 EPS below consensus, revs in-line

  • Zoom Video (ZM 70.32, -1.09, -1.5%): beats by $0.17, beats on revs; guides Q2 EPS in-line, revs in-line; guides FY24 EPS above consensus, revs above consensus

  • AutoZone (AZO 2543.98, -75.82, -2.9%): beats by $2.65, reports revs in-line

  • Guardant Health (GH 28.90, -1.90, -6.2%): prices offering of 12.5 mln shares of common stock at $28.00 per share

  • Yelp (YELP 35.91, +3.39, +10.4%): TCS Capital delivers open letter to the Yelp Board of Directors; Believes that the Board should immediately begin exploring strategic alternatives

  • Dick's Sporting Goods (DKS 128.61, +2.21, +1.8%): beats by $0.19, beats on revs; reaffirms FY24 EPS guidance

  • Microsoft (MSFT 321.68, +0.50, +0.2%): Jefferies reiterated a Buy rating and named the stock a top pick

  • Chevron (CVX 153.75, +1.31, +0.9%): HSBC upgraded to Buy from Hold

  • RenaissanceRe (RNR 185.00, -4.03, -2.1%): to acquire American International Group's (AIG) treaty reinsurance business for $2.985 bln in total consideration, including $2.735 bln of cash and $250 mln of RenaissanceRe common shares


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