By Nigam 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.’
NASDAQ DIPS INTO CRITICAL SUPPORT ZONE, SENTIMENT SHIFTS
Nov 7, 2025
To gain an edge, this is what you need to know today.
Critical Support Zone
Please click here for a chart of Nasdaq 100 ETF (QQQ).
Note the following:
- The chart shows QQQ gapped down.
- The chart shows that subsequently a rally brought QQQ to the bottom of the gap.
- The chart shows that instead of another rally to close the gap, as has often been the case in this bull market, QQQ fell.
- The chart shows that QQQ is now in zone 1 (support).
- RSI on the chart shows that even though QQQ is not oversold, it is getting close to being oversold. Oversold markets tend to bounce.
- In The Arora Report analysis it is critical for this support zone to hold for the uptrend to stay valid.
- If there is a break below zone 1, zone 2 (support) shown on the chart will come into the picture.
- In The Arora Report analysis, due to the calendar, the probability of a break below zone 1 continues to remain low unless there is new news. If this was occurring in September or October, the probability of a break below zone 1 and a move to zone 2 would have been high. However, it is November and the year end chase is ahead.
- Two possible triggers to the upside are:
- The government reopening
- Fed officials, especially Fed Chair Powell, indicating a rate cut in December
- The FAA is cutting flights due to some air traffic controllers not showing up to work. Air traffic controllers are not being paid due to the government shutdown. Flight cuts may be the pressure needed to bring Republicans and Democrats together to open the government. When the government opens, there will be an immediate surge of economic activity.
- For today, Fed Vice Chair Philip Jefferson has said:
- “It makes sense to proceed slowly as we approach the neutral rate.”
- It will be a close call if the Fed cuts rates in December or not.
- Tariffs may be keeping prices high while progress is being made on the underlying inflation.
- Sentiment is fluctuating wildly. Sentiment has shifted from extreme positive to very positive in a day.
- Nvidia (NVDA) and Tesla (TSLA) play a big part in sentiment.
- There are reports that the government is making it difficult for Nvidia to export throttled down AI chips to China that were specifically designed for the Chinese market.
- Tesla shareholders approved the $1T pay package for CEO Elon Musk with 75% in favor. 75% is significantly more than the consensus. Initially, TSLA stock jumped on the news. Bulls were expecting TSLA stock to breakout and quickly move to the $500 magnet as Musk made highly ambitious promises. In fact, the reverse has happened, and this is denting sentiment.
- University of Michigan consumer sentiment data will be released at 10am ET and may be market moving.
- The official jobs report will not be released today due to the government shutdown.
- As an actionable item, the sum total of the foregoing is in the Arora Protection Band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the Arora Protection Band. The Arora Protection Band is one of the large number of unique edges that are available to members of The Arora Report.
Magnificent Seven Money Flows
Most portfolios are now heavily concentrated in the Mag 7 stocks. For this reason, to get ahead and get an edge, investors need to dig below the surface of the Mag 7 stocks. It is equally important to rise above the noise of daily news on the Mag 7 stocks. The best way to get an edge, dig below the surface, and rise above the noise of the daily news is to pay attention to early money flows in the Mag 7 stocks on a daily basis. When there is significant news in the Mag 7 stocks that rises above the threshold of noise and impacts your entire portfolio, it is covered in the main section above.
In the early trade, money flows are neutral in Apple (AAPL) and Microsoft (MSFT).
In the early trade, money flows are negative in Amazon (AMZN), Nvidia (NVDA), Alphabet (GOOG), Meta (META), and Tesla (TSLA).
In the early trade, money flows are negative 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.
Note for new members: Smart money often sells into the strength generated by momo crowd buying and buys into the weakness generated by momo crowd selling. Over a long period of time, investors come out ahead by adopting smart money’s ways. The exception is in a raging bull market – for very short term trades, consider following the momo crowd and not smart money. Smart money is an important indicator but is only one of hundreds of indicators that go into determining the Arora Protection Band and signals. Please click here and here to understand how signals are generated.
Very Very Short-Term Indicator
The Arora Report’s proprietary 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.
Gold
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 *** oil in the early trade. Smart money is *** in the early trade.
For longer-term, please see oil ratings.
Bitcoin
Bitcoin (BTC.USD) is seeing selling.
Markets
Interest rates and bonds are range bound.
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.
S&P 500 futures are trading at 6718 as of this writing. S&P 500 futures resistance levels are 6780, 7000, and 7200 : support levels are 6500, 6256, and 6131.
DJIA futures are down 125 points.
Gold futures are at $4003, silver futures are at $48.35, and oil futures are at $59.84.
Arora Protection Band And What To Do Now
It is important for investors to look ahead and not in the rearview mirror. The proprietary Arora Protection Band from The Arora Report is very popular. The Arora Protection Band puts all of the data, all of the indicators, all of the news, all of the crosscurrents, all of the models, and all of the analysis in an analytical framework that is easily actionable by investors.
Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider holding *** in cash, Treasury bills, short term fixed income, 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.
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.
A protection band of 0% would be very bullish and would indicate full investment with 0% in cash. A protection band of 100% would be very bearish and would indicate a need for aggressive protection with cash and hedges or aggressive short selling.
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 five 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.
HUMAN LEVEL ARTIFICIAL GENERAL INTELLIGENCE ALREADY HERE, TAXING AI AGENTS, INVESTORS CELEBRATE TRUMP’S ROUGH DAY
Nov 6, 2025
To gain an edge, this is what you need to know today.
Extreme Positive Sentiment Returns
Please click here for a chart of Nasdaq 100 ETF (QQQ).
Note the following:
- The chart shows QQQ almost touched the upper band of zone 1 (support).
- The chart shows that today QQQ is bouncing.
- It is a positive for the stock market that QQQ did not dip into the support zone.
- Yesterday, oral arguments in the Supreme Court case on Trump tariffs were heard. With the justices asking tough questions of President Trump’s attorney, the likelihood of a ruling in favor of the tariffs has decreased. At a low during oral arguments, on the betting market Polymarket placed the likelihood of Trump winning at 18% and Kalshi at 20%.
- Investors celebrated by buying stocks on the reduced likelihood of a favorable ruling on Trump tariffs. The Supreme Court ruling is expected in a matter of weeks.
- As we shared with you in yesterday’s Morning Capsule, it is important to remember:
If President Trump loses, there will be two crosscurrents. One one side, interest rates could rise because the bond market is counting on tariff revenue. On the other side, inflation may come down and profitability of corporations may go up.
- As we have been sharing with you, prudent investors need to keep in mind if President Trump loses, he has many other avenues to impose tariffs available to him under the law.
- In The Arora Report analysis, in a market that is not staying down for long, the celebration of a potential ruling against tariffs shifted the sentiment from very positive back to extreme positive.
- October this year saw more job losses than any other October in two decades. The primary reason is AI. Right now, the stock market does not care. However, prudent investors need to ask this question: With more and more people losing jobs, isn’t it going to start impacting corporate earnings?
- Nvidia (NVDA) CEO Jensen Huang said that China will win the AI war. He back tracked when a backlash erupted. No one in the U.S. wants to hear China will win in AI.
- Yesterday, hedge funds aggressively bought stocks that are favored by the retail momo crowd. Knowing that the retail momo crowd buys on momentum and media pump without doing any legitimate analysis, hedge funds are simply front running, hoping to sell these stocks to the retail momo crowd at higher prices.
- Prudent investors should note that some AI pioneers are claiming that human level artificial general intelligence (AGI) is already here. Investors should keep a keen eye as this has major implications for the stock market. AGI will cause significant job losses, leaving fewer people to pay taxes and spend money to fuel the U.S. economy. One idea that is floating around is to start taxing AI agents.
- As an actionable item, the sum total of the foregoing is in the Arora Protection Band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the Arora Protection Band. The Arora Protection Band is one of the large number of unique edges that are available to members of The Arora Report.
England
The Bank of England left interest rates unchanged, which is inline with consensus.
Magnificent Seven Money Flows
Most portfolios are now heavily concentrated in the Mag 7 stocks. For this reason, to get ahead and get an edge, investors need to dig below the surface of the Mag 7 stocks. It is equally important to rise above the noise of daily news on the Mag 7 stocks. The best way to get an edge, dig below the surface, and rise above the noise of the daily news is to pay attention to early money flows in the Mag 7 stocks on a daily basis. When there is significant news in the Mag 7 stocks that rises above the threshold of noise and impacts your entire portfolio, it is covered in the main section above.
In the early trade, money flows are positive in Alphabet (GOOG), Meta (META), Nvidia (NVDA), and Tesla (TSLA).
In the early trade, money flows are neutral in Apple (AAPL), Amazon (AMZN), and Microsoft (MSFT).
In the early trade, money flows are positive in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).
Momo Crowd And Smart Money In Stocks
The momo crowd is *** stocks in the early trade. Smart money is *** in the early trade.
Note for new members: Smart money often sells into the strength generated by momo crowd buying and buys into the weakness generated by momo crowd selling. Over a long period of time, investors come out ahead by adopting smart money’s ways. The exception is in a raging bull market – for very short term trades, consider following the momo crowd and not smart money. Smart money is an important indicator but is only one of hundreds of indicators that go into determining the Arora Protection Band and signals. Please click here and here to understand how signals are generated.
Very Very Short-Term Indicator
The Arora Report’s proprietary 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.
Gold
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 *** oil in the early trade. Smart money is *** in the early trade.
For longer-term, please see oil ratings.
Bitcoin
Bitcoin (BTC.USD) is range bound.
Markets
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.
S&P 500 futures are trading at 6840 as of this writing. S&P 500 futures resistance levels are 7000 and 7200 : support levels are 6780, 6500, and 6256.
DJIA futures are up 33 points.
Gold futures are at $4023, silver futures are at $48.42, and oil futures are at $60.06.
NASDAQ PULLS BACK TO SUPPORT ZONE – MOMO AGGRESSIVELY BUYS STOCKS, WHALES DUMP $45B OF BITCOIN
Nov 5, 2025
To gain an edge, this is what you need to know today.
Momo Buys On Pullback
Please click here for a chart of Nasdaq 100 ETF (QQQ).
Note the following:
- The chart shows QQQ has pulled back to the top of zone 1 (support).
- Such a pullback is common and necessary.
- In The Arora Report analysis, as long as QQQ does not break below the low band of zone 1, the thesis of the year end chase remains intact.
- Prudent investors should be mindful of three points:
- Due to the government shutdown, there is not as much data as prudent investors would like. In many ways, the stock and bond markets are flying blind.
- The Supreme Court hearing on Trump tariffs is today. Bettors on betting markets are betting President Trump will lose. On Polymarket, the probability of President Trump winning is 39%, and on Kalshi, it is 41%. If President Trump loses, he has many other avenues to impose tariffs available to him under the law.
- If President Trump loses, there will be two crosscurrents. One one side, interest rates could rise because the bond market is counting on tariff revenue. On the other side, inflation may come down and profitability of corporations may go up.
- In The Arora Report analysis, the reason behind the market pulling back to zone 1, instead of going up, is the shift in the sentiment. Sentiment has shifted from extreme positive to very positive.
- The momo crowd has been responsible for the extreme froth that has built up. Some of this froth has now come off. The result is huge losses for momo crowd accounts. Here are a few examples:
- Nuclear stock Oklo (OKLO) is down 41% from its recent high as of this writing in the premarket.
- Space stock AST SpaceMobile (ASTS) is down 32% from its recent high as of this writing in the premarket.
- Lithium stock Lithium Americas (LAC) is down 56% from its recent high as of this writing in the premarket.
- Battery stock American Battery Technology (ABAT) is down 66% from its recent high as of this writing in the premarket.
- The momo crowd is fighting back and buying exactly the same stocks they were chasing before.
- Momo guru pitches are so seductive that the momo crowd always has a fresh new supply of investors. While some momo accounts are being decimated, the new money momo gurus are attracting keeps the momo crowd in a dominant position.
- As we have been sharing with you, valuations are very high, and as such, do not provide support for the stock market when sentiment changes.
- One issue facing the market is that whisper numbers have moved very high. Advanced Micro Devices (AMD) earnings provide a great illustration. Advanced Micro Devices reported great earnings better than consensus, but the stock fell because the reported numbers were below the whisper numbers.
- Younger consumers continue to pull back. This was the theme from Mediterranean restaurant chain CAVA’s (CAVA) earnings. Previously, the same theme was in Chipotle (CMG) earnings.
- The economy has become a K-shaped economy. The top 20% continue to do well and spend money. The rest of the population is pulling back.
- ADP is the largest private payroll processor in the country. ADP uses its data to provide a glimpse of the official jobs report. The official jobs report is unlikely to be released due to the government shutdown. ADP Employment Change came at 42K vs. 26K consensus. In The Arora Report analysis, even though the headline looks good, hiring is slowing.
- ISM Services will be released at 10am ET and may be market moving.
- As an actionable item, the sum total of the foregoing is in the Arora Protection Band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the Arora Protection Band. The Arora Protection Band is one of the large number of unique edges that are available to members of The Arora Report.
Magnificent Seven Money Flows
Most portfolios are now heavily concentrated in the Mag 7 stocks. For this reason, to get ahead and get an edge, investors need to dig below the surface of the Mag 7 stocks. It is equally important to rise above the noise of daily news on the Mag 7 stocks. The best way to get an edge, dig below the surface, and rise above the noise of the daily news is to pay attention to early money flows in the Mag 7 stocks on a daily basis. When there is significant news in the Mag 7 stocks that rises above the threshold of noise and impacts your entire portfolio, it is covered in the main section above.
In the early trade, money flows are positive in Alphabet (GOOG), Meta (META), Nvidia (NVDA), and Tesla (TSLA).
In the early trade, money flows are neutral in Amazon (AMZN), Microsoft (MSFT), and Apple (AAPL).
In the early trade, money flows are positive in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).
Momo Crowd And Smart Money In Stocks
The momo crowd is *** stocks in the early trade. Smart money is *** in the early trade.
Note for new members: Smart money often sells into the strength generated by momo crowd buying and buys into the weakness generated by momo crowd selling. Over a long period of time, investors come out ahead by adopting smart money’s ways. The exception is in a raging bull market – for very short term trades, consider following the momo crowd and not smart money. Smart money is an important indicator but is only one of hundreds of indicators that go into determining the Arora Protection Band and signals. Please click here and here to understand how signals are generated.
Very Very Short-Term Indicator
The Arora Report’s proprietary 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.
Gold
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 build of 6.5M barrels vs. a consensus of a draw of 2.4M barrels.
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 (BTC.USD) briefly fell below $100K as whales dumped $45B of bitcoin. Retail investors aggressively bought the dip. The pattern persists – whales opportunistically trade their bitcoins for dollars; retail investors continue to trade their dollars for bitcoin.
For those who want a deeper understanding of how bitcoin whales act, there is a series of podcasts in Arora Ambassador Club. To get on the waitlist to join Arora Ambassador Club, please click here to fill out the form.
Markets
Interest rates are ticking up, and bonds are ticking down.
The dollar is unchanged.
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.
S&P 500 futures are trading at 6804 as of this writing. S&P 500 futures resistance levels are 7000 and 7200 : support levels are 6780, 6500, and 6256.
DJIA futures are up 30 points.
Gold futures are at $3981, silver futures are at $47.68, and oil futures are at $60.33.
SMART MONEY SELLS PALANTIR, QUANTUM COMPUTING, AND SPACE STOCKS, GOLD GIVES UP MOMO INDUCED GAINS
Nov 4, 2025
To gain an edge, this is what you need to know today.
Smart Money Making Tactical Changes
Please click here for a chart of Palantir stock (PLTR).
Note the following:
- The Morning Capsule is about the big picture, not an individual stock. The chart of PLTR stock is being used to illustrate the point.
- PLTR stock had been running up going into earnings. The buying in PLTR stock was primarily from the momo crowd.
- The chart shows PLTR stock spiked up on earnings, trading as high as $222.
- The chart shows PLTR stock slowly started falling later in the after hours session and in the early trade this morning. PLTR stock has fallen to $189.85 as of this writing in the premarket.
- Palantir reported excellent earnings, commentary was excellent, and growth was good. Here are the details:
- Earnings came at $0.21 per share vs. $0.17 consensus.
- Revenues came at $1.18B vs. $1.09B consensus, up 62.8% year-over-year.
- The company guided Q4 revenues of $1.327B – $1.331B vs. $1.18B consensus.
- The company guided FY25 revenues of $4.396B – $4.4B vs. $4.14B consensus.
- U.S. business growth came at 77% year-over-year, and U.S. commercial growth came at 121% year-over-year.
- Palantir’s CEO Alex Karp said, “These are arguably the best results that any software company has ever delivered.”
- In spite of all that, why did PLTR stock fall? It fell because the momo crowd had been running up PLTR stock, and smart money took advantage of the strength to book partial profits.
- PLTR is in the ZYX Buy Core Model Portfolio. PLTR is long from $20.15. PLTR is trading at $189.85 as of this writing in the premarket, representing a 842% gain.
- Palantir is a great company, but its stock is one of the most expensive popular stocks in this market.
- Yesterday also saw vicious reversals in other stocks popular among the momo crowd including data center stocks such as IREN (IREN), Nebius (NBIS), and CoreWeave (CRWV), nuclear stocks such as Oklo (OKLO), quantum computing stocks such as Rigetti (RGTI), D-Wave Quantum (QBTS), and IonQ (IONQ), space stocks such as AST SpaceMobile (ASTS), rare earth stocks such as MP Materials (MP), USA Rare Earth (USAR), and Critical Metals (CRML).
- Smart money is making tactical changes. Expect smart money to buy any significant dip as the year end chase is ahead.
- Expect the momo crowd to fight back and aggressively buy their favorite stocks, trying to run them up. The problem the momo crowd faces is that a big segment of the momo crowd aggressively buys short dated, out of money call options. Such options can expire worthless, causing havoc with momo accounts unless there is a quick snap back in momo stocks.
- The hearing before the Supreme Court on Trump tariffs is tomorrow. The Supreme Court’s ruling can potentially have a major impact on the stock market.
- As an actionable item, the sum total of the foregoing is in the Arora Protection Band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the Arora Protection Band. The Arora Protection Band is one of the large number of unique edges that are available to members of The Arora Report.
Magnificent Seven Money Flows
Most portfolios are now heavily concentrated in the Mag 7 stocks. For this reason, to get ahead and get an edge, investors need to dig below the surface of the Mag 7 stocks. It is equally important to rise above the noise of daily news on the Mag 7 stocks. The best way to get an edge, dig below the surface, and rise above the noise of the daily news is to pay attention to early money flows in the Mag 7 stocks on a daily basis. When there is significant news in the Mag 7 stocks that rises above the threshold of noise and impacts your entire portfolio, it is covered in the main section above.
In the early trade, money flows are negative in Amazon (AMZN), Nvidia (NVDA), Microsoft (MSFT), Alphabet (GOOG), Meta (META), Tesla (TSLA), and Apple (AAPL).
In the early trade, money flows are negative in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).
Momo Crowd And Smart Money In Stocks
The momo crowd is *** stocks in the early trade. Smart money is *** in the early trade.
Note for new members: Smart money often sells into the strength generated by momo crowd buying and buys into the weakness generated by momo crowd selling. Over a long period of time, investors come out ahead by adopting smart money’s ways. The exception is in a raging bull market – for very short term trades, consider following the momo crowd and not smart money. Smart money is an important indicator but is only one of hundreds of indicators that go into determining the Arora Protection Band and signals. Please click here and here to understand how signals are generated.
Very Very Short-Term Indicator
The Arora Report’s proprietary 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.
Gold
Gold has fallen below $4000. You may recall that The Arora Report shared that after gold crossed $4000, momo gurus who had never recommended gold before came out of the woodwork and started urging their followers to aggressively buy gold. Gold is essentially giving up the gains from momo buying.
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
There is selling in oil on concerns about supply exceeding demand.
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 seeing selling along with speculative momo crowd stocks. The psychological support level of $100K is nearby.
Markets
Interest rates are ticking down, and bonds are ticking up.
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.
S&P 500 futures are trading at 6808 as of this writing. S&P 500 futures resistance levels are 7000 and 7200 : support levels are 6780, 6500, and 6256.
DJIA futures are down 293 points.
Gold futures are at $3990, silver futures are at $47.26, and oil futures are at $60.11.
BUFFETT SELLS STOCKS – HERE IS WHAT PRUDENT INVESTORS SHOULD DO NOW, OPEC+ CHANGES STANCE
Nov 3, 2025
To gain an edge, this is what you need to know today.
Buffett Sells Stocks
Please click here for a chart of Warren Buffett’s company Berkshire Hathaway stock (BRK.B).
Note the following:
- The Morning Capsule is about the big picture, not an individual stock. The chart of BRK.B is being used to illustrate the point.
- The chart shows BRK.B stock has pulled back from highs earlier this year.
- The chart shows BRK.B is in zone 2 (support).
- RSI on the chart shows BRK.B stock is neither overbought nor oversold.
- Warren Buffett is the most successful investor of our time. His company Berkshire Hathaway reported earnings. Here are the details:
- Berkshire Hathaway did not buy back any of its own stock. A pattern that is continuing from May 2024.
- Berkshire Hathaway’s cash holdings have reached a new record $381B, up from $344B at the end of June.
- Berkshire Hathaway bought $6.4B worth of equities in Q3. However, the company also sold $12.4B worth of equities.
- There are indications, but no formal confirmation, that Berkshire sold more Apple stock (AAPL) in Q3.
- Berkshire Hathaway’s total after tax earnings came at $30.8B, up 17% year-over-year.
- Berkshire Hathaway has $305B of Treasuries on its balance sheet.
- Warren Buffett is stepping down as CEO at the end of 2025.
- Here is what prudent investors need to think about:
- Why was Buffett a net seller of stocks?
- As BRK.B stock has come down, why did Buffett not buy his own stock?
- Why is Buffett holding so much cash?
- For answers, investors do not have to look far. Buffett himself has provided the answers.
- Stocks are very expensive right now.
- BRK.B stock itself is not inexpensive enough to buy.
- Berkshire Hathaway is holding a lot of cash, so it can capture better opportunities as they will certainly arise in the future.
- The Arora Report has continuously shared that if you do not hold enough cash you cannot capture great opportunities when they arise.
- Most investors do not have billions like Buffett and do not have deal access like Buffett. For most investors, the best way to follow what Buffett is doing is to follow the Arora Protection Band. Keep in mind the Arora Protection Band is dynamic. As such, it helps investors generate wealth and protect wealth at the same time.
- Two data center stocks are jumping. Cipher Mining (CIFR) signed a deal with Amazon (AMZN), and IREN (IREN) signed a deal with Microsoft (MSFT).
- AMZN stock is jumping on a deal with OpenAI.
- Mergers and acquisitions continue to heat up.
- Kimberly-Clark (KMB) is buying Tylenol maker Kenvue (KVUE). KVUE was previously spun off from Johnson & Johnson (JNJ).
- Precious metal miner Coeur Mining (CDE) is buying New Gold (NGD).
- In the truce in the US China trade war, for the time being, China will not add to export controls on rare earth minerals and will end investigations into U.S. semiconductor companies.
- Expect blind money to flow into the stock market today and tomorrow. Blind money is the money that flows into the stock market on the first two days of the month without any analysis irrespective of market conditions.
- ISM Manufacturing Index will be released today at 10am ET.
- As an actionable item, the sum total of the foregoing is in the Arora Protection Band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the Arora Protection Band. The Arora Protection Band is one of the large number of unique edges that are available to members of The Arora Report.
Magnificent Seven Money Flows
Most portfolios are now heavily concentrated in the Mag 7 stocks. For this reason, to get ahead and get an edge, investors need to dig below the surface of the Mag 7 stocks. It is equally important to rise above the noise of daily news on the Mag 7 stocks. The best way to get an edge, dig below the surface, and rise above the noise of the daily news is to pay attention to early money flows in the Mag 7 stocks on a daily basis. When there is significant news in the Mag 7 stocks that rises above the threshold of noise and impacts your entire portfolio, it is covered in the main section above.
In the early trade, money flows are positive in Amazon (AMZN), Nvidia (NVDA), Microsoft (MSFT), Alphabet (GOOG), and Meta (META).
In the early trade, money flows are negative in Apple (AAPL) and Tesla (TSLA).
In the early trade, money flows are positive in S&P 500 ETF (SPY) and Nasdaq 100 ETF (QQQ).
Momo Crowd And Smart Money In Stocks
The momo crowd is *** stocks in the early trade. Smart money is *** in the early trade.
Note for new members: Smart money often sells into the strength generated by momo crowd buying and buys into the weakness generated by momo crowd selling. Over a long period of time, investors come out ahead by adopting smart money’s ways. The exception is in a raging bull market – for very short term trades, consider following the momo crowd and not smart money. Smart money is an important indicator but is only one of hundreds of indicators that go into determining the Arora Protection Band and signals. Please click here and here to understand how signals are generated.
Very Very Short-Term Indicator
The Arora Report’s proprietary 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.
Gold
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
Due to the prospect of an oil glut, OPEC+ is changing its stance. OPEC+ is pausing output hikes next year. This is pushing the price of oil higher.
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 (BTC.USD) is range bound.
Markets
Interest rates and bonds are range bound.
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.
S&P 500 futures are trading at 6900 as of this writing. S&P 500 futures resistance levels are 7000 and 7200 : support levels are 6780, 6500, and 6256.
DJIA futures are down 14 points.
Gold futures are at $4029, silver futures are at $48.35, and oil futures are at $61.00.
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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.

