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.’
SEMIS VOLATILE AS TRADERS WAIT FOR SK HYNIX DISCOUNT TO MICRON CLOSE, U.S. APPROVED CRYPTOBANK
Jul 10, 2026
To gain an edge, this is what you need to know today.
Watch SK Hynix
Please click here for a chart of leveraged semiconductor ETF (SOXL).
Note the following:
- Semiconductors are the leading sector that has been driving the stock market higher. SOXL is the momo crowd’s favorite semiconductor ETF.
- The chart shows that yesterday SOXL was not able to sustain the initially rally and closed at the top band of zone 2 (support).
- The chart shows in the early trade, SOXL has dipped into zone 2.
- Investors are anxiously awaiting trading in SK Hynix (SKHY). How SK Hynix trades will move SOXL and, in turn, the entire stock market. Here are the key points to pay attention to regarding SK Hynix:
- SK Hynix IPO was priced at $149.
- SK Hynix offering was 7X oversubscribed.
- Many large institutions and hedge funds received less allocation than anticipated. This may increase demand after SK Hynix starts trading.
- SK Hynix trades at a discount to Micron (MU). Micron forward PE is 6.7 vs. 5.4 for SK Hynix.
- SK Hynix is growing faster than Micron.
- SK Hynix is the largest Nvidia (NVDA) memory supplier.
- The wisdom among the crowd is that SKHY will quickly move to $185 and thus close the discount to MU.
- In The Arora Report analysis, prudent investors should also be aware of another scenario. Instead of SK Hynix moving from $149 to $185 to close the discount to Micron, MU stock could move down.
- Especially if SKHY does not trade well, prudent investors who took partial profits or hedged semiconductor positions in accordance with the May 19 posts would be positioned well. The Arora Report portfolios have been heavy in semiconductors, and there have been extraordinarily large gains. For example, the position in semiconductor ETF (SMH) has a gain of 7440%.
- The U.S. has approved Circle Internet Group’s (CRCL) cryptobank. The cryptobank approval is a key milestone.
- For the umpteenth time, the U.S. and Iran have agreed to stop attacking each other. The stock market is reacting positively, and oil is reacting negatively.
- 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), Meta (META), Microsoft (MSFT), and Tesla (TSLA).
In the early trade, money flows are negative in Apple (AAPL), Alphabet (GOOG), Nvidia (NVDA),
In the early trade, money flows are positive 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.
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. This is reflected in gold ETF (GLD), silver ETF (SLV), gold miner ETF (GDX), and silver miner ETF (SIL). 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 buying.
Markets
Interest rates and bonds are range bound.
The dollar is range bound.
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 7588 as of this writing. S&P 500 futures resistance levels are 7700, 7900, and 8000 : support levels are 7318, 7194, and 7032.
DJIA futures are up 122 points.
Gold futures are at $4109, silver futures are at $60.01, and oil futures are at $71.95.
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.
7X SK HYNIX OVERSUBSCRIPTION BRINGS BUYING IN SEMIS, EARNINGS SEASON AHEAD, OIL PULLS BACK AFTER IRAN ATTACKS
Jul 9, 2026
To gain an edge, this is what you need to know today.
Buying In Semis
Please click here for a chart of leveraged semiconductor ETF (SOXL).
Note the following:
- Semiconductors are the leading sector that has been driving the stock market higher. SOXL is the momo crowd’s favorite semiconductor ETF.
- The chart shows that the selloff in SOXL yesterday stopped at the low band of zone 2 (support).
- The chart shows that this morning there is aggressive buying in semiconductors, and SOXL is now above the upper band of zone 2.
- Buying in semiconductors is lifting the overall stock market in spite of the second wave of U.S. attacks on Iran and Iran’s counter attacks.
- In The Arora Report analysis, aggressive buying in semiconductors is triggered by the U.S. listing of SK Hynix (HXSCL, SKHY) being 7X oversubscribed. This indicates very heavy demand for the South Korean memory maker. The SK Hynix offering is among the largest for a foreign company in the U.S.
- SK Hynix will start trading in the U.S. tomorrow. How SK Hynix trades will impact the entire semiconductor sector, and in turn, the entire stock market.
- To keep you ahead of the curve, we have been sharing with you that the momo crowd is oblivious to increasing memory capacity that is going to come online. So far, The Arora Report thesis is on track. The news this morning is that Micron (MU) is accelerating, spending more than $250B through 2035 to increase production.
- Of special note, this morning Meta’s (META) stock is being sold on Meta placing its custom AI chip in production in September and Meta’s plan to double its capacity.
- In The Arora Report analysis, prudent investors should note the change in the character of this stock market. If the same news from Meta had come out last month, META stock would have gone up. In the past, when hyperscalers introduced their own chips and increased compute capacity, their stocks have gone up.
- Earnings season will start tomorrow with Delta Air Lines (DAL) reporting earnings. The first important set of earnings from banks, including Bank of America (BAC), Citigroup (C), Goldman Sachs (GS), JPMorgan (JPM), and Wells Fargo (WFC), will be on Tuesday, July 14 before the regular session open. Whisper numbers for bank earnings are running ahead of consensus numbers.
- In The Arora Report analysis, FOMC minutes showed that this is the most divided Fed in decades.
- Initial jobless claims came at 215K vs. 220K consensus. This indicates the jobs picture remains strong.
- Oil rose yesterday after the regular session close on news of a second day of U.S. attacks on Iran. Overnight, oil gave up all its gains in spite of massive Iranian counterattacks.
- In The Arora Report analysis, the reason oil is having a hard time sustaining gains is two-fold:
- The belief among oil traders is that President Trump has an eye on the midterm elections, and as such, President Trump is not likely to escalate beyond limited attacks.
- Iran’s economy is in bad shape. Iran needs to keep selling oil to sustain its economy. As such, Iran is also not likely to escalate beyond limited counter attacks.
- In The Arora Report analysis, to get ahead of the curve, prudent investors should be aware that there is a high probability of a scenario where there is no permanent deal between the U.S. and Iran, and low level warfare becomes the norm.
- 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.
China
China is experiencing deflation. Here are the details:
- June CPI came at -0.3% month-over-month vs. -0.2% consensus.
- June PPI came at -0.3% month-over-month vs. -0.3% 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 Nvidia (NVDA).
In the early trade, money flows are neutral in Tesla (TSLA).
In the early trade, money flows are negative in Amazon (AMZN), Microsoft (MSFT), Alphabet (GOOG), Meta (META), 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. This is reflected in gold ETF (GLD), silver ETF (SLV), gold miner ETF (GDX), and silver miner ETF (SIL). 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 (BTC.USD) is range bound.
Markets
Interest rates and bonds are range bound.
The dollar is range bound.
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 7546 as of this writing. S&P 500 futures resistance levels are 7700, 7900, and 8000 : support levels are 7318, 7194, and 7032.
DJIA futures are up 21 points.
Gold futures are at $4121, silver futures are at $59.92, and oil futures are at $73.93.
SEMICONDUCTORS BELOW SUPPORT; FED MINUTES AHEAD; TRUMP SAYS IRAN CEASEFIRE IS OVER, BUT WILL HE BACK OFF?
Jul 8, 2026
To gain an edge, this is what you need to know today.
Will President Trump Back Off?
Please click here for a chart of leveraged semiconductor ETF (SOXL).
Note the following:
- Semiconductors are the leading sector that has been driving the stock market higher. SOXL is the momo crowd’s favorite semiconductor ETF.
- The chart shows that the drop after Samsung’s (SSNLF) great earnings led SOXL below zone 2 (support), but SOXL managed to close above the low band of zone 2 as dip buyers stepped in.
- The chart shows volume yesterday was higher.
- The chart shows that in the early trade this morning, SOXL is below the low band of zone 2.
- In The Arora Report analysis, of note is that semiconductor stocks are falling on Iran related news. This is a shift from recent investor behavior. Recent behavior has been investors buying semiconductor stocks on bad news from Iran on the narrative that semiconductors and AI have nothing to do with Iran.
- Prudent investors should carefully watch if dip buyers step in and push SOXL back in the support zone.
- President Trump is saying that the ceasefire with Iran may be “over.” Here is the key question for investors: Will President Trump back off with his eye on the midterm elections?
- In The Arora Report analysis, investors should draw a conclusion from the following statement from President Trump, “”Now I’ll let our wonderful negotiators keep talking if they want, but I don’t see it.”
- The U.S. has revoked Iran’s license to export oil. The U.S. hit over 80 targets in Iran. Iran responded with strikes at Bahrain and Kuwait. These two countries have U.S. bases.
- Investors are eagerly awaiting the FOMC minutes. The FOMC minutes will give a glimpse into how Warsh intends to run the Fed. FOMC minutes will be released at 2pm ET and may be market moving.
- We have been warning investors that a potential failure point in the AI trade is being fueled with private market debt. This is different from the internet bubble of the late 1990’s. In The Arora Report analysis, Amazon’s (AMZN) bond sale yesterday shows that investor demand is cooling. The oversubscription for Amazon debt was only 1.6X vs. 4X for high grade corporate deals seen recently. As a reference in March 2026, Amazon debt was 3.4X oversubscribed.
- 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 mixed 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 *** in gold in the early trade. This is reflected in gold ETF (GLD), silver ETF (SLV), gold miner ETF (GDX), and silver miner ETF (SIL). 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 0.399M barrels vs. a consensus of a draw of 1.5M 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) is range bound.
Markets
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.
S&P 500 futures are trading at 7509 as of this writing. S&P 500 futures resistance levels are 7700, 7900, and 8000 : support levels are 7318, 7194, and 7032.
DJIA futures are down 433 points.
Gold futures are at $4083, silver futures are at $58.88, and oil futures are at $73.38.
SAMSUNG SELLOFF SENDS WARNING TO U.S. INVESTORS; AMAZON ENTERS AI DEBT BINGE; IRAN HITS A SHIP
Jul 7, 2026
To gain an edge, this is what you need to know today.
Samsung Warning
Please click here for a chart of leveraged semiconductor ETF (SOXL).
Note the following:
- Semiconductors are the leading sector that has been driving the stock market higher. SOXL is the momo crowd’s favorite semiconductor ETF.
- The chart shows that yesterday investors were buying SOXL, but SOXL was not able to hold its gain.
- We shared with you in the Morning Capsule yesterday that buying in semiconductors in the U.S. was mostly the momo crowd buying in anticipation of good Samsung (SSNLF) earnings.
- The chart shows the fall in SOXL in the early trade this morning after Samsung earnings.
- The chart shows SOXL is now in zone 2 (support).
- Prudent investors should carefully watch the following:
- How SOXL behaves after the initial selling
- Does SOXL hold zone 2 or move above zone 2
- Volume of SOXL today
- Price action in Micron (MU), Sandisk (SNDK), and memory ETF (DRAM)
- As we have been sharing with you, lately the U.S. stock market has been following the South Korean stock market. Historically, the South Korean stock market followed the U.S. stock market. The South Korean stock market fell after Samsung earnings, and the selling in South Korea carried over to the U.S.
- Samsung earnings are outstanding and way above consensus. Here are the details:
- Q2 preliminary operating profit came at KRW 89.4T vs. KRW 84.2T consensus. This is a 56% jump from the previous quarter and a 1900% jump from the same quarter a year earlier.
- Q2 preliminary revenue came at KRW 171.0T vs. KRW 162.2T consensus. Revenue has doubled from the prior year.
- In spite of outstanding earnings significantly beating consensus, SSNLF stock fell 6.9% in South Korea. KOSPI Composite, the benchmark for South Korean stocks, fell 4.9%.
- Many investors are puzzled as to why SSNLF stock fell after Samsung reported outstanding earnings. As a member of The Arora Report, you were already ahead of the curve. The reason for the fall is that even the outstanding numbers from Samsung did not meet the whisper numbers. Many investors, especially retail investors rely on consensus numbers and do not understand that stocks move on the difference between the reported numbers and the whisper numbers. Whisper numbers are the numbers that analysts privately provide only to their best clients. These numbers are often different from the numbers the same analysts publish for public consumption.
- After the momo crowd bought semiconductor stocks aggressively ahead of Samsung earnings without any consideration of risk, this morning, the momo crowd is aggressively selling semiconductor stocks. Momo crowd selling is exaggerating the downmove in tech stocks far more than is justified for Samsung’s earnings.
- Adding to the negative sentiment this morning is that DeepSeek, a leading Chinese LLM developer, is developing its own AI chip to reduce dependence on Nvidia (NVDA). The chip is designed for inference, not training.
- Amazon (AMZN) is entering the AI debt binge by offering $25B in bonds. The debt is being sold in eight tranches from 3 – 40 years.
- We previously shared with you The Arora Report analysis that one of the potential failure points in the AI rally is the debt binge that is not financed by banks but by private investors. This is one of the reasons prudent investors should pay attention to the Arora Protection Band.
- SpaceX (SPCX) is joining Nasdaq 100 today. Wall Street banks are issuing very bullish targets, with one setting a target of $800 for SPCX. The analyst behind the $800 price target is estimating the long term opportunity for SPCX to be $30T – this is far in excess of prior estimates from most analysts including The Arora Report.
- 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), Microsoft (MSFT), Alphabet (GOOG), Meta (META), and Apple (AAPL).
In the early trade, money flows are negative in Nvidia (NVDA) 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 *** 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. This is reflected in gold ETF (GLD), silver ETF (SLV), gold miner ETF (GDX), and silver miner ETF (SIL). Smart money is *** in the early trade.
For longer-term, please see gold and silver ratings.
Oil
Iran has fired missiles at two ships in the Strait of Hormuz. Iran appears to be taking advantage of President Trump’s desire to not escalate before the midterm elections.
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 buying.
KOREA REBOUND LEADS BUYING IN TECH STOCKS – SAMSUNG EARNINGS AND SK HYNIX LISTING AHEAD, YIELDS PULL BACK
Jul 6, 2026
To gain an edge, this is what you need to know today.
Tech Rebound
Please click here for a chart of leveraged semiconductor ETF (SOXL).
Note the following:
- Semiconductors are the leading sector that has been driving the stock market higher. SOXL is the momo crowd’s favorite semiconductor ETF.
- The chart shows SOXL fell on Thursday into zone 2 (support).
- The chart shows a large move from the recent attempt to breakout when SOXL traded as high as $302 to the low on Thursday of $168.88. This underscores the volatility.
- The chart shows SOXL is seeing buying this morning and is now above zone 2. If zone 2 holds, that will be a positive, not only for semiconductors but for the entire stock market.
- RSI on the chart shows SOXL is close to becoming oversold and is primed for a bounce.
- In The Arora Report analysis, an important observation from the chart is that even on a low liquidity pre-holiday trading session, the volume was higher when SOXL experienced a significant drop. This indicates that when SOXL starts dropping, significant fear develops. Paradoxically, the presence of this fear can lead to a rally.
- The buying in SOXL in the early trade shown on the chart is triggered by a rebound in South Korea. Remember that the South Korean market is home to Samsung (SSNLF) and SK Hynix (HXSCL, SKHY). South Korea ETF (EWY) is in ZYX Emerging, long from the April 2025 buy signal at an average price of $48.60. As of this writing in the premarket, EWY is trading at $189.63, representing a gain of 290%.
- The South Korea market rebounded for two reasons:
- Samsung will report earnings tomorrow. True to their pattern, the momo crowd is buying ahead of earnings. Earnings are always a risk event, both to the upside and the downside. The momo crowd almost always buys ahead of earnings on hopium that earnings will be better than the consensus and whisper numbers because the momo crowd does not take risk into account. Smart money seldom buys ahead of earnings because smart money is always concerned about risk.
- SK Hynix is marketing its listing in the U.S. SK Hynix plans to offer 17,790,000 shares at about $158.14. SKHY shares are expected to start trading in the U.S. on Friday.
- Contributing to positive sentiment this morning is that SpaceX (SPCX) will be added to the Nasdaq 100 tomorrow.
- Positive sentiment is also building in Apple (AAPL) stock on speculation that Apple will introduce a foldable phone. Of note is that Samsung has had a foldable phone for years.
- Buying in stocks in the early trade is extending beyond tech stocks. The reason is yields are pulling back after the jobs report came out weaker than expected.
- In The Arora Report analysis, a key test for the stock market will be what happens to the stock market after the early buying driven by the foregoing reasons is exhausted. It is common for the stock market to see strong buying after a holiday, only for selling to emerge later.
- ISM Non-Manufacturing Index 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 Amazon (AMZN), Alphabet (GOOG), Meta (META), Nvidia (NVDA), and Tesla (TSLA).
In the early trade, money flows are negative in Apple (AAPL) 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. This is reflected in gold ETF (GLD), silver ETF (SLV), gold miner ETF (GDX), and silver miner ETF (SIL). 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 buying.
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 7559 as of this writing. S&P 500 futures resistance levels are 7700, 7900, and 8000 : support levels are 7318, 7194, and 7032.
DJIA futures are down 42 points.
Gold futures are at $4144, silver futures are at $61.94, and oil futures are at $68.32.
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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.
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.

