WEEKLY STOCK MARKET DIGEST: CAN STOCK MARKET BULLS’ HOPIUM BE QUENCHED?

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By Nigam Arora & Dr. Natasha Arora

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights from the prior week gives them an edge over the coming weeks. Here is the day by day rundown from the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers of The Arora Report

Please scroll down for the section ‘Protection Bands and What To Do Now.’

JOBS REPORT UPSETS BULLS’ HOPIUM BUT THEY MIGHT NOT CARE, LAYOFFS HELP META AND AMAZON ADD $275B IN MARKET CAP

February 2, 2024

To gain an edge, this is what you need to know today.

Blowout Jobs Report And Earnings

Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).

Note the following:

  • The chart shows a rally after a shallow pullback.
  • The chart shows that the shallow pullback approached but did not penetrate the high band of the support zone.  From a technical perspective this is a positive.
  • The chart shows an attempt of a new breakout.  This new breakout would have likely followed through if it was not for the jobs report data upsetting bulls’ hopium this morning.
  • The jobs report is a blowout.  Here are the details:
    • Non-farm payrolls came at 353K vs. 175K consensus.
    • Non-farm private payrolls came at 317K vs. 150K consensus.
    • Unemployment rate came at 3.7% vs. 3.8% consensus.
    • Average work week came at 34.1 vs. 34.4 consensus.
  • This is the strongest jobs report since January 2023.
  • In The Arora Report analysis, this jobs report is simply too strong for the Fed to cut rates.  Even though Powell was clear that a rate cut in March was not the base case, stock market bulls have continued to buy stocks on hopes of a rate cut in March.  
  • In The Arora Report analysis, this jobs report significantly upsets stock market bulls’ hopium.  If it was not for the blowout earnings from Amazon (AMZN) and Meta (META), the stock market would have likely fallen by as much as 1000 DJIA points on this report.  Now the questions for prudent investors are the following:
  • In view of blowout earnings from AMZN and META, will the momo crowd even care about the jobs report?
    • Will the new narrative of momo gurus that interest rates no longer matter ring true with investors?  
    • Layoffs helped AMZN and META report blowout earnings.  If the premarket gains hold, META and AMZN have added about $275B in market cap since they reported earnings after the close yesterday.  
  • META is initiating its first dividend and a $50B buyback.  The addition of a dividend and the buyback to stellar earnings is resulting in META stock running up 17.15% since it reported earnings to the time of this writing.  This is highly unusual for a $1T company.  When a $1T company starts moving like a penny stock, you know that the positive sentiment is at an extreme.  
    • At extremes, sentiment is a contrary indicator.  In plain English, extreme positive sentiment is a sell signal.
    • As we have been sharing with you over the years, sentiment is not a precise timing indicator.  It should be only one component of a 360 degree analysis such as the one provided by the adaptive ZYX Asset Allocation Model with inputs in ten categories.
  • META initiating a dividend will put pressure on other cash rich tech companies to initiate dividends.  Going forward, speculation of tech companies adding dividends will add fuel to the fire of extreme optimism about tech companies.
  • The historical pattern of trading in META stock after earnings is that the stock runs up right after the earnings report and later on during the conference call, the stock falls when guidance is given.  This historical pattern makes trading META stock after earnings a losing proposition.  However, yesterday was different.   Because of extreme positive sentiment, no pullback occurred during the conference call.
  • We have been sharing with you the semiconductor breakthrough in China that led to an incredible Huawei phone.  Our call has been that the Huawei phone will undermine Apple iPhone sales in China.  We have also been warning you about the China risk to Apple.  These calls have proven spot on.  Apple sales in China declined by 13%.  This caused an initial pullback in AAPL stock.  However, sentiment is so extreme in the stock market that the slight dip in AAPL stock is being aggressively bought in the premarket as investors ignore the drop in sales in China.
  • In The Arora Report analysis, investors need to be mindful that market conditions are such that good news is great news and bad news is good news.  These are precisely the market conditions when prudent investors should stay alert and build cash and hedges.  Building cash and hedges now will allow for taking advantage of better buying opportunities in the future.
  • As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents.   Please scroll down to see the protection band.

Magnificent Seven Money Flows

In the early trade, money flows are positive in AMZN, META, Microsoft (MSFT), and Nvidia (NVDA).

In the early trade, money flows are neutral in Alphabet (GOOG).

In the early trade, money flows are negative in AAPL and Tesla (TSLA).

In the early trade, money flows were extremely positive in S&P 500 ETF (SPY) and  Nasdaq 100 ETF (QQQ) before the release of the jobs report.  Since the release of the jobs report, money flows have become negative.

Momo Crowd And Smart Money In Stocks

The momo crowd is *** (To see the locked content, please take a 30 day free trial) stocks in the early trade.  Smart money is *** stocks in the early trade.

Gold

The momo crowd was *** gold before the release of the jobs report.  The momo crowd is *** gold after the release of the jobs report.  Smart money is inactive in the early trade.

For longer-term, please see gold and silver ratings.

Oil

Oil is being sold on the prospect of a ceasefire deal in the Middle East.

The momo crowd is *** oil in the early trade.  Smart money is *** in the early trade.

For longer-term, please see oil ratings.

Bitcoin

Bitcoin (BTC.USD) is moving up with positive sentiment emanating from tech stocks.

Markets

Our very, very short-term early stock market indicator is ***.  This indicator, with a great track record, is popular among long term investors to stay in tune with the market and among short term traders to independently undertake quick trades.

Interest rates are ticking up, and bonds are ticking down.

The dollar is stronger.

Trading futures is not recommended for most investors. The purpose of providing this information is to give an indication of the premarket activity that usually guides the activity when the market opens.

Gold futures are at $2048, silver futures are at $22.67, and oil futures are at $73.27.

S&P 500 futures are trading at 4930 as of this writing.  S&P 500 futures resistance levels are 5020, 5210, and 5400: support levels are 4918, 4852, and 4826.

DJIA futures are down 141 points.

Protection Band And What To Do Now

It is important for investors to look ahead and not in the rearview mirror.

Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider holding *** in cash or Treasury bills or allocated to short-term tactical trades; and short to medium-term hedges of ***, and short term hedges of ***. This is a good way to protect yourself and participate in the upside at the same time.

See also  HOTTER CORE CPI UPSETS STOCK MARKET BULLS’ HOPIUM, BUYING AHEAD OF NVIDIA’S JENSEN HUANG SPEECH

You can determine your protection bands by adding cash to hedges.  The high band of the protection is appropriate for those who are older or conservative. The low band of the protection is appropriate for those who are younger or aggressive.  If you do not hedge, the total cash level should be more than stated above but significantly less than cash plus hedges.

It is worth reminding that you cannot take advantage of new upcoming opportunities if you are not holding enough cash.  When adjusting hedge levels, consider adjusting partial stop quantities for stock positions (non ETF); consider using wider stops on remaining quantities and also allowing more room for high beta stocks.  High beta stocks are the ones that move more than the market.

Traditional 60/40 Portfolio

Probability based risk reward adjusted for inflation does not favor long duration strategic bond allocation at this time.

Those who want to stick to traditional 60% allocation to stocks and 40% to bonds may consider focusing on only high quality bonds and bonds of seven year duration or less.  Those willing to bring sophistication to their investing may consider using bond ETFs as tactical positions and not strategic positions at this time.

 

INTEL EARNINGS COOL AI FRENZY, NEW DATA SHOWS EXCESSIVE CONSUMER SPENDING CONTINUES

February 1, 2024

To gain an edge, this is what you need to know today.

Stock Market Direction

Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).

Note the following:

  • The chart shows the stock market has pulled back on Powell’s remarks.
  • The chart shows the stock market is near the top band of the support zone.
  • The chart shows that in the early trade, the dip in the stock market is being bought.
  • The FOMC rate decision came as expected yesterday.  However, Powell trampled on the speculation of a rate cut in March.  Please read yesterday’s Afternoon Capsule for details.
  • Fed Chair Powell said labor availability is a big factor in the Fed’s decision.
  • Previously, the Fed was trying to drive unemployment higher.  The reason was in traditional economics, higher unemployment brings down inflation.
  • This cycle has defied traditional economics thus far.  Inflation is coming down while unemployment remains very low.
  • In The Arora Report analysis of Powell’s press conference, the Fed is not worried about inflation running back up.  However, the Fed is concerned about inflation being sticky and staying above their target.  If the employment picture stays strong, it will be difficult for the Fed to cut interest rates as the Fed does not want inflation to get stuck above their target.  This is the reason prudent investors are paying very close attention to the jobs report.
  • The jobs report, known as the mother of all reports, will be released tomorrow at 8:30am ET.
  • In The Arora Report analysis, the jobs report tomorrow is the key to the near-term direction of the stock market.  If the jobs report is strong, the stock market will likely tumble.  If the jobs report is weak, the stock market will likely run up. 
  • Weekly initial jobless claims came at 224K vs. 215K consensus.  This indicates that the jobs picture is still very strong, but the data is beginning to weaken.
  • Q4 Productivity-Prel came at 3.2% vs. 2.1% consensus.
  • Q4 Unit Labor Costs-Prel came at 0.5% vs. 1.9% consensus.
  • In The Arora Report analysis, higher productivity and lower unit labor costs are excellent pieces of news for the U.S. economy.  Higher productivity and lower labor costs mean higher profits for U.S. companies.  Higher profits mean higher stock prices in the long run.
  • Additional potentially market moving data will be released today:
    • ISM Manufacturing Index will be released at 10am ET.
    • Earnings from Apple (AAPL), Amazon (AMZN), and Meta (META) will be announced after the close.
  • As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents.   Please scroll down to see the protection band.

Real Estate Jitters

Aozora Bank, a Japanese institution, fell more than 20% due to losses related to U.S. commercial real estate.

Deutsche Bank (DB), the Germany banking giant, quadrupled its U.S. real estate loss reserves to €123M.

New York Community Bancorp stock (NYCB) fell 38% related to real estate losses.

Regional bank ETF (KRE) had the worst daily loss since Silicon Valley Bank went bankrupt in March 2023.

In The Arora Report analysis, so far the stock market is ignoring the issues related to commercial real estate, but prudent investors need to keep an eye.  This was one of the factors behind the signal yesterday for changes in the protection band.  

Magnificent Seven Money Flows

In the early trade, money flows are positive in AAPL, AMZN, Alphabet (GOOG), Microsoft (MSFT), META, Nvidia (NVDA), and Tesla (TSLA).

In the early trade, money flows are mixed in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).

Momo Crowd And Smart Money In Stocks

The momo crowd is *** (To see the locked content, please take a 30 day free trial) stocks in the early trade.  Smart money is *** in the early trade.

Gold

The momo crowd is *** in the early trade.  Smart money is ***  in the early trade.

For longer-term, please see gold and silver ratings.

Oil

OPEC+ Monitoring Committee is recommending no change in oil output.  

The momo crowd is *** oil in the early trade.  Smart money is *** in the early trade.

For longer-term, please see oil ratings.

Bitcoin

Bitcoin (BTC.USD) is moving with the sentiment in speculative junk stocks.

Markets

Our very, very short-term early stock market indicator is ***.  This indicator, with a great track record, is popular among long term investors to stay in tune with the market and among short term traders to independently undertake quick trades.

Interest rates are ticking down, and bonds are ticking up.

The dollar is weaker.

Trading futures is not recommended for most investors. The purpose of providing this information is to give an indication of the premarket activity that usually guides the activity when the market opens.

Gold futures are at $2059, silver futures are at $22.83, and oil futures are at $76.78.

S&P 500 futures are trading at 4888  as of this writing.  S&P 500 futures resistance levels are 4918, 5020, and 5210: support levels are 4852, 4826, and 4770.

DJIA futures are up 3 points.

 

INTEL EARNINGS COOL AI FRENZY, NEW DATA SHOWS EXCESSIVE CONSUMER SPENDING CONTINUES

January 31, 2024

To gain an edge, this is what you need to know today.

AI Hype Meets Reality

Please click here for a chart of Microsoft stock (MSFT) compared to AMD stock (AMD) and Alphabet stock (GOOG).

Note the following:

  • The chart shows when earnings were released from MSFT, AMD, and GOOG.
  • The chart shows the drop in all three stocks on earnings.
  • The Arora Report shared with you in advance yesterday:

Whisper numbers for Microsoft earnings are significantly higher than the consensus numbers.  Stocks move based on the difference between whisper numbers and actual numbers.  Whisper numbers are the numbers that analysts share privately with their best clients and are often different from the numbers the same analysts publish.

  • In The Arora Report analysis, earnings from MSFT, AMD, and GOOG were good but did not meet the whisper numbers.
  • In The Arora Report analysis, earnings from MSFT, AMD, and GOOG show that prospects for AI are excellent but less than the hype. Prudent investors need to remember that Wall Street is a great hype machine.   
  • This morning in the early trade, tech stocks were seeing significant selling and then came the ADP employment change report.
    • ADP is the largest payroll processor in the country.  ADP uses its data to give an advanced glimpse of the jobs picture ahead of the official jobs report that will be released on Friday at 8:30am ET.
    • ADP employment change came at 107K vs. 140K consensus.
    • Weakness in the ADP report brought aggressive buying into stocks.  The reason is that if employment weakens, the Fed is more likely to cut interest rates.
  • The Fed rate decision will be announced at 2pm ET followed by Powell’s press conference at 2:30pm ET.
  • As a reminder, The Arora Report is the only credible resource for investors that is politically agnostic.  As the election approaches and emotions are running hot, most analysts have an agenda to favor Democrats or Republicans based on their own affiliation.  This gets in the way of providing sound investment guidance.  At The Arora Report, our sole job is to help investors without a political agenda.
  • In The Arora Report analysis, the Fed is coming under political pressure to cut rates quickly even though the data does not justify such a move.  
    • Democrats want the Fed to cut rates quickly to help Biden.  
    • Republicans want the Fed to cut rates now as they believe that if the Fed is cutting rates too close to the election, it will help Biden.  
  • At The Arora Report, we will be analyzing the Fed’s statement and listening to Powell’s press conference for clues on when the first rate cut will occur.
  • As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents.   Please scroll down to see the protection band.
See also  MOTHER OF ALL REPORTS DISAPPOINTS BOTH BULLS AND BEARS – CRITICAL WALLER REMARKS AHEAD

Magnificent Seven Money Flows

In the early trade, money flows are negative in Apple (AAPL), Amazon (AMZN), Alphabet (GOOG), Meta (META), Microsoft (MSFT), Nvidia (NVDA), and Tesla (TSLA).

In the early trade, money flows are mixed in S&P 500 ETF (SPY) and negative in Nasdaq 100 ETF (QQQ).

Momo Crowd And Smart Money In Stocks

The momo crowd is *** (To see the locked content, please take a 30 day free trial) stocks in the early trade.  Smart money is *** in the early trade.

Gold

Historically, the momo crowd almost always buys gold ahead of Fed announcements.  Today is no different. 

The momo crowd is *** gold in the early trade.  Smart money is *** in the early trade.

For longer-term, please see gold and silver ratings.

Oil

API crude inventories came at a draw of 2.5M barrels vs. a consensus of a draw of 0.867M barrels.  This data is bullish.  

The momo crowd is *** oil in the early trade.  Smart money is *** in the early trade.

For longer-term, please see oil ratings.

Bitcoin

Bitcoin (BTC.USD) was seeing selling earlier in the morning and yesterday evening in sympathy with selling in tech stocks.  As buying came in tech stocks on ADP data, buying is coming in bitcoin.

 

INTEL EARNINGS COOL AI FRENZY, NEW DATA SHOWS EXCESSIVE CONSUMER SPENDING CONTINUES

January 30, 2024

To gain an edge, this is what you need to know today.

AI Driven Market

Please click here for a chart of Microsoft stock (MSFT).

Note the following:

  • The Morning Capsule is about the big picture, not an individual stock.  The chart of MSFT stock is being used to illustrate the point.
  • The chart shows that MSFT stock has continued to move higher after breaking out above the support zone.
  • The chart shows that MSFT stock is continuing its run going into earnings.
  • The chart shows that MSFT stock is overbought.
  • A great indication for the entire stock market will be how MSFT stock chart looks after the earnings report.
  • Microsoft earnings is the most important earnings report this season.
    • Microsoft will report earnings after the close today.
    • Microsoft is in the lead to capture profits from artificial intelligence.  It has millions of captive customers. At $30 per customer per month for Microsoft Copilot, there is potential of a huge revenue increase.
    • In The Arora Report analysis, Microsoft can run Copilot at less cost than anybody else.  The Arora Report estimate is that Microsoft will generate over 50% gross profits on Copilot.  For more details, listen to the podcast on how Microsoft is likely to monetize AI in Arora Ambassador Club. 
    • At The Arora Report, we will be focused on two aspects of the earnings.
      • How is Microsoft actually monetizing AI
      • Cloud revenue growth
    • Whisper numbers for Microsoft earnings are significantly higher than the consensus numbers.  Stocks move based on the difference between whisper numbers and actual numbers.  Whisper numbers are the numbers that analysts share privately with their best clients and are often different from the numbers the same analysts publish.
  • A fortune in AI is to be made over the next six years.  However, it will not be a straight line and at times, it will be treacherous.  It is important for investors to develop deeper knowledge of various aspects of profiting from AI.  The easiest way to build your knowledge is by listening to the podcasts in Arora Ambassador Club.
  • Long time members of The Arora Report have huge unrealized gains on MSFT.  MSFT is in the ZYX Buy Model Portfolio.
  • UPS (UPS) is a bellwether stock as its earnings indicate strength or weakness in the economy.  This morning UPS reported earnings significantly worse than the whisper numbers.  This has negative implications for the economy.
  • In the early trade, the momo crowd was aggressively buying stock futures before the release of UPS earnings.   UPS earnings have brought selling into the entire stock market.
  • As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents.   Please scroll down to see the protection band.

Real Or Political

Investors are excited about the announcement of the U.S. Treasury’s borrowing needs.  The U.S. Treasury has announced that it plans to borrow $760B in Q1.  This amount is $55B less than the consensus. The Treasury Department will announce details of the borrowing on Wednesday.

In The Arora Report analysis, the U.S. Treasury borrowing less does not jive with the planned government spending.  Could it be a ploy to shore up the stock and bond markets leading into the election this year?

Prudent, long term investors need to be very careful in this election year as Biden and his allies are going to do everything they can to get on the public’s good side to win the election.  Such moves are not sustainable in the next year.

The Arora Report plan is to take advantage of Biden’s moves to steadily book profits.

Layoffs And Work From Home

UPS is laying off 12,000 employees.

IBM is warning employees if they do not show up at the office, they will lose their jobs.

Magnificent Seven Money Flows

In the early trade, money flows are positive in Microsoft (MSFT), Nvidia (NVDA), and Tesla (TSLA).

See also  PAY ATTENTION TO PROTECTING YOUR WEALTH, TROUBLE IN LIBYA IMPACTS THE U.S.

In the early trade, money flows are neutral in Alphabet (GOOG) and Meta (META).

In the early trade, money flows are negative in Apple (AAPL) and Amazon (AMZN).

In the early trade, money flows are mixed in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).

Momo Crowd And Smart Money In Stocks

The momo crowd is *** (To see the locked content, please take a 30 day free trial) stocks in the early trade.  Smart money is *** in the early trade.

Gold

Gold is seeing buying on potential escalation in the Middle East.  

The momo crowd is *** gold in the early trade.  Smart money is *** in the early trade.

For longer-term, please see gold and silver ratings.

Oil

For this time of the year, crude inventories at Cushing are at their lowest level in a decade.  This is a set up for a short squeeze.  A signal may be given to buy crude oil in ZYX Buy.  

The momo crowd is *** oil in the early trade.  Smart money is *** in the early trade.

For longer-term, please see oil ratings.

Bitcoin

Bitcoin (BTC.USD) continues to move higher along with speculative junk stocks on positive risk sentiment.

 

INTEL EARNINGS COOL AI FRENZY, NEW DATA SHOWS EXCESSIVE CONSUMER SPENDING CONTINUES

January 29, 2024

To gain an edge, this is what you need to know today.

Biden Response

Please click here for a chart of Light Sweet Crude Oil futures (CL_F).

Note the following:

  • Three U.S. troops were killed in a drone attack in Jordan by Iran backed militias.
  • Initially following the attack over the weekend, a strong positive reaction was expected in gold, oil, bonds, and the dollar.  A negative reaction was expected in stocks.
  • Biden was under increasing pressure from Republicans to attack Iran.
  • The fear was escalation of conflict in the Middle East.
  • As the weekend progressed, Republicans accused Biden of being weak.
  • Yesterday evening when futures opened, there was only slight buying in oil and slight selling in stocks.
  • The chart shows that as of this writing, oil futures have reversed.  Oil is most sensitive to developments in the Middle East.  
  • In The Arora Report analysis, the probability is high that in spite of strong rhetoric by Biden, Biden’s response to the attack and loss of three soldiers is likely to be weak.  In The Arora Report analysis, Biden does not want to get into war with Iran.    
  • A weak response from the U.S. will not be largely disruptive to oil and the broader markets, at least in the short term.
  • Prudent investors should keep in mind that it is an election year.  Despite The Arora Report’s analysis of a low probability, Biden may take a stronger position with November voters in mind.  A strong reaction from the U.S. would put downward pressure on the stock market.
  • Investors are optimistic going into tech earnings this week:
    • AMD, GOOG, and MSFT report on Tuesday.
    • QCOM reports on Wednesday.
    • AAPL, AMZN, and META report on Thursday.
  • Investors are also awaiting market moving data this week:
    • The FOMC meeting begins Tuesday.  The rate decision will be announced Wednesday at 2pm ET followed by Powell’s press conference at 2:30pm ET.
    • The Bank of England’s rate decision will be announced on Thursday.
    • The jobs report, the mother of all numbers, will be released on Friday at 8:30am ET.
  • As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents.   Please scroll down to see the protection band.

China

A court in Hong Kong has ordered Evergrande, once the largest real estate developer in China, to be liquidated.  In The Arora Report analysis, this will not have a negative impact on the Chinese stock market.  

Magnificent Seven Money Flows

In the early trade, money flows are positive in Nvidia (NVDA), Microsoft (MSFT),  Meta (META), Amazon (AMZN), and Tesla (TSLA).

In the early trade, money flows are neutral in Alphabet (GOOG).

In the early trade, money flows are negative in Apple (AAPL).

In the early trade, money flows are mixed in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).

Momo Crowd And Smart Money In Stocks

The momo crowd is *** (To see the locked content, please take a 30 day free trial) stocks in the early trade.  Smart money is *** in the early trade.

Gold

Gold is seeing buying on Middle East concerns.

The momo crowd is *** gold in the early trade.  Smart money is *** in the early trade.

For longer-term, please see gold and silver ratings.

Oil

The momo crowd is *** in oil in the early trade.  Smart money is *** in the early trade.

For longer-term, please see oil ratings.

Bitcoin

Bitcoin miners often tend to lead bitcoin (BTC.USD).  Previously, we shared with you that short sellers were aggressively short selling bitcoin miners when bitcoin ETFs were approved.  The signals from bitcoin miners proved accurate as bitcoin lost about 20% of its value.  Now, short sellers are taking profits by buying to cover.  This is driving bitcoin miners higher and adding to buying in bitcoin.

Bitcoin is trading above $42,000.

To consistently profit from bitcoin, listen to the three part podcast series titled “Whales’ Secrets You Need To Know: Capturing Bitcoin Profits” in Arora Ambassador Club.

Markets

Our very, very short-term early stock market indicator is ***.  This indicator, with a great track record, is popular among long term investors to stay in tune with the market and among short term traders to independently undertake quick trades.

Interest rates are ticking down, and bonds are ticking up on Middle East concerns.

The dollar is stronger on Middle East concerns.

Trading futures is not recommended for most investors. The purpose of providing this information is to give an indication of the premarket activity that usually guides the activity when the market opens.

Gold futures are at $2036, silver futures are at $23.16, and oil futures are at $77.56.

S&P 500 futures are trading at 4916 as of this writing.  S&P 500 futures resistance levels are 5020, 5210, and 5400: support levels are 4852, 4826, and 4770.

DJIA futures are down 25 points.

 

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Picture of Nigam Arora

Nigam Arora

Nigam Arora is known for his accurate stock market calls. Nigam is a distinguished master of the macro. He is a popular columnist with over 100 million page views, an engineer, and nuclear physicist by background. Nigam has founded two Inc. 500 fastest growing companies and has been involved in over 50 entrepreneurial ventures. He is the developer of Theory ZYX of Successful Change Management and is the author of the book on Theory ZYX, as well as the developer of the ZYX Change Method for Investing.

Picture of Dr. Natasha Arora

Dr. Natasha Arora

Dr. Natasha Arora has significant expertise in investment analysis especially biotech, healthcare, and technology. Natasha is a graduate of Harvard Medical School followed by a postdoc at MIT. She has published several peer reviewed research papers in top science journals.

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