By MFM Team STATE OF THE MARKETS
Stocks rebound ahead of Fed’s minutes. US stocks rebound higher on Tuesday after reports of better than expected earnings from major retailers, ahead of the release of Fed’s minutes that could spell further plans for rate hikes. S&P (+1.36%) and Nasdaq (+1.36%) jumped the most, followed by Dow (+1.18%) and Russell (+1.16%) as the Dollar index eased below the 107 handle. Demand for bond safety remained tight as yields eased lower, with the 10Y benchmark dipped to 3.75% and the shorter 2Y flirted around the 4.50% mark.
In the commodity markets, crude oil plunged in early Wednesday trading erasing earlier gains after news of China cutting down its purchases amid renewed Covid lockdowns. The black gold broke below $78.30/bl as at writing. Gold continues to be resilient as traders prepare for the Fed’s minutes that may see Fed’s toning down on its aggressive plan. The yellow metal settled around $1740.10/oz as New York closed. Elsewhere, iron ore continues to flirt circa $91.50/tn waiting for the next catalysts.
In the FX space, short term traders were quick to bid the oversold Euro and offer the overbought Loonie, while demanding more Swiss and Yen. Short and medium term accounts seemed bearish as Swiss advanced closer to the demand territories, while sending Aussie and Loonie to the back burner. Long term sentiments were little changed.
On Wednesday, markets expected to remain volatile as investors geared up for the Thanksgiving holiday while waiting for the latest Fed’s minutes that could show future rates hike plans. Thin earnings release on Wednesday with Deere & Co (DE) and a small cap Kingsoft Cloud (KC) as well as the latest figures in the US mortgage applications, durable goods orders, jobless claims and consumer sentiments. EIA petroleum status will be in the spotlight for energy traders.
G8 CURRENCIES SENTIMENTS
| ST | NZD | GBP | CHF | EUR | AUD | JPY | CAD | USD | ST |
| MT | GBP | USD | NZD | EUR | CHF | CAD | JPY | AUD | MT |
| LT | NZD | AUD | GBP | EUR | CHF | JPY | CAD | USD | LT |
** ST refers to Short-Term daily turnover, MT is Medium Term weekly and LT refers to Long-Term monthly turnover.
WALL ST MOST ACTIVE
| TICKER | LAST PRICE |
% CHANGE |
VOLUME | 90 DAYS AVG |
| TQQQ | 22.07 | + 4.20 | 145,512.4K | 201,936.1K |
| ITUB | 4.86 | – 2.61 | 94,129.2K | 44,040.4K |
| SOXL | 12.90 | + 8.49 | 86,653.5K | 102,813.2K |
| PBR | 10.16 | + 0.55 | 83,836.3K | 35,410.7K |
| SQQQ | 45.32 | – 4.06 | 79,846.3K | 135,617.9K |
| TSLA | 169.91 | + 1.22 | 78,289.3K | 77,710.8K |
| SOFI | 4.64 | – 4.72 | 76,413.1K | 44,849.0K |
| PALI | 4.02 | + 81.90 | 62,301.8K | 128,928.4K |
| AMZN | 93.20 | + 0.80 | 62,068.5K | 68,843.9K |
| SPY | 399.90 | + 1.35 | 60,328.3K | 83,218.8K |
** % Change here refers to price vs previous day price
WALL ST TOP FLOWS
| TICKER | LAST PRICE |
VOLUME |
% CHANGE | FUNDS FLOW $ |
| TSLA | 169.91 | 78,289.3K | – 8.81 | 13,302.1M |
| AAPL | 150.18 | 51,718.6K | – 43.39 | 7,767.1M |
| NVDA | 160.38 | 47,201.7K | – 13.89 | 7,570.2M |
| AMZN | 93.20 | 62,068.5K | – 44.04 | 5,784.8M |
| MSFT | 245.03 | 19,653.7K | – 42.90 | 4,815.7M |
| AMD | 75.25 | 55,375.2K | – 34.98 | 4,167.0M |
| META | 111.44 | 28,993.5K | – 60.79 | 3,231.0M |
| DIS | 96.21 | 25,733.8K | + 29.59 | 2,475.8M |
| GOOGL | 97.05 | 23,429.4K | – 43.02 | 2,273.8M |
| XOM | 114.18 | 17,711.3K | – 6.51 | 2,022.3M |
** % change here refers to volume vs. 20 days average volume.
TOP 5 BLOCK ORDERS
| TICKER | PRICE | TYPE | VOL/OI | FUNDS FLOW |
| GOEV | 1.05 | stock/options | 173.29 | 13.6M |
| KSS | 32.23 | stock/options | 120.94 | 112.0M |
| LYFT | 11.05 | stocks/options | 110.41 | 168.0M |
| ZS | 1,429.60 | Soybean futures | 62,137 | 88.8M |
| ZC | 659.20 | Corn futures | 110,158 | 72.6M |
OUR PICK – No New Pick
We stay on the sideline for now. With VIX dropping to 21.50 and nearing strong support at 20, plus our crude oil being stopped out, we decided to stay on the sideline for now. We may look to re-enter crude on strong bids with dealers’ follow through.
For high probability picks, please use our Trading Central services. You could also join us at MFM’s TradeCopy
| HORIZON | STRATEGY | SL | TP1 | TP2 |
| Short-Term | – | – | – | – |
| Medium-Term | – | – | – | – |
| Long-Term | – | – | – | – |
Disclaimer: This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
Abdul H. Jaffar