🔥Earnings and CPI Await! ⏰

Feb 10, 2022

Earnings continue to surprise to the upside. Disney, MGM,CMG,ENPH and TWLO all beat expectations. This on the heels from solid reports from the largest tech companies last week. Guidance is mixed but overall positive. The indexes have not gotten back to the lows that were set over two weeks ago. It is safe to say barring any major financial calamity that the bottom is in . Between the massive exhaustive selling volume, the record retail short positions and sheer number of stocks that corrected 50 to 80% , there is little doubt that a lot of investors threw in the towel. That kind of sentiment is what we need for a bottom. Technically all three indexes are above the 5 day moving average and the 21 day moving average for the first time this year. There are other technical patterns that have developed as well. By Example , look at the QQQ chart below you can see the highlighted area. This is a island gap reversal and usually signifies a change in trend. Note on the QQQ chart the previous island between OCT and NOV 2021 that led to new highs on the index. While we are out of the woods, this does not mean we can not pullback swiftly. Tomorrow CPI release has a lot of investors on the sidelines waiting to see where we stand with inflation. The estimate is .5%. Jobless Claims will also be released but barring anything major, it is a non event as CPI is driving the Fed. A large number over .5% would signify higher then expected inflation and can lead to selling down. This pullback would be a buying opportunity. I have been focused on Travel, Restaurants and Energy stocks as well as beleaguered large cap tech names. Key levels to watch are on the charts. Below is tonight’s video of 5 stocks to watch. I go over three of the biggest earnings beats and what to expect tomorrow. I also explain in-depth what to look for in the Nasdaq. Make sure you pay attention to what is said about $TWLO. Let’s get to it!

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Subscribe to You Tube! 👈Subscribe and turn on notifications. There is a new daily video after the market Monday through Thursday! It’s called the Top 5 in 5. It consists of the best five ideas for the next day and I condense it into 5 minutes. Its loaded with actionable ideas. Its worth your time. It is hyper specific and actionable. Tonight’s includes 4 Longs and 1 Short. When you subscribe turn on ALL notifications so you are notified of the daily Premarket live shows ,Top 10 Weekly Buy List and educational videos. Also, Once subscribed you will receive private content on YouTube make sure all notifications are turned on so you receive it. The video below is the Top 5 from tonight and focused on earnings this evening. Pay close attention to what is said about $TWLO.

As always all investment decisions need to be made by the individual. We all have different risk profiles. No two people trade the same. Understand the buy points, stop losses, trims are suggestions. You need to develop your own process. I am willing to help. If you have questions email me Arete@Aretetrading.net. For example, to stop losses, I like to see them close. That does not mean that fits everyone’s risk profile.

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