The melt up over the last couple weeks might be starting to slow, with tech stocks starting to approach bubble levels. The bulls continue to celebrate, while the bears scratch their heads and tend to theirs wounds.
Both sides wonder what the catalyst will be for a sell off and what, if anything, can break tech. News out yesterday that the CDC asked states to be ready for a COVID-19 vaccine helped the S&P to all-time highs. However, the Nasdaq lagged as some “stay at home” stocks saw relative weakness.
Perhaps the straw that will break the camels back will be good virus news, that would start the unwind of the hot tech stocks that performed so well since March.
Momentum is key for traders, if stocks like Tesla and Apple break lower, the market can start to sell off. Until then, it is easy to buy dips and impossible to short this market.
This morning we are seeing some weakness in tech, with the Nasdaq futures off just under 1%,
S&P Futures Trading Levels
The S&P futures currently sit at 3566, which is 21 handles off the overnight high.
Support levels for the day will be 3563 and 3540.
Upside resistance is 3600 and 3624.
The current S&P trading environment has been in breakout mode since 3400, but dangerously overbought as we approach 3600.
Three Stocks to Watch
CRWD- CrowdStrike reported earnings last night and saw a beat on both the top and bottom line. The company guided Q3 higher and raised FY21, so investors might wonder why the stock is trading 7% lower premarket. They should realize that the stock ran 30 points higher this week into the report so a little profit taking is warranted.
MDB- Big 43.59% beat and raise from MongoDB had the stock up 8% after hours last night.The database software company has almost doubled this year and looks to open at all-time highs.
TSLA- After the stock ripped into the split on Monday, Tesla has seen some pressure and fallen over 20% from highs. This morning, the stock traded down over 8% and threatens to break the $400 level. Pre-split, this level is equivalent to $2000, so traders will have their eye on if this spot can hold.
Zacks’ Single Best Pick to Double
From thousands of stocks, 5 Zacks experts each picked their favorite to gain +100% or more in months to come. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
With users in 180 countries and soaring revenues, it’s set to thrive on remote working long after the pandemic ends. No wonder it recently offered a stunning $600 million stock buy-back plan.
The sky’s the limit for this emerging tech giant. And the earlier you get in, the greater your potential gain.
Click Here, See It Free >>
Image: Bigstock
Tech Stocks Look to Take a Breather
The melt up over the last couple weeks might be starting to slow, with tech stocks starting to approach bubble levels. The bulls continue to celebrate, while the bears scratch their heads and tend to theirs wounds.
Both sides wonder what the catalyst will be for a sell off and what, if anything, can break tech. News out yesterday that the CDC asked states to be ready for a COVID-19 vaccine helped the S&P to all-time highs. However, the Nasdaq lagged as some “stay at home” stocks saw relative weakness.
Perhaps the straw that will break the camels back will be good virus news, that would start the unwind of the hot tech stocks that performed so well since March.
Momentum is key for traders, if stocks like Tesla and Apple break lower, the market can start to sell off. Until then, it is easy to buy dips and impossible to short this market.
This morning we are seeing some weakness in tech, with the Nasdaq futures off just under 1%,
S&P Futures Trading Levels
The S&P futures currently sit at 3566, which is 21 handles off the overnight high.
Support levels for the day will be 3563 and 3540.
Upside resistance is 3600 and 3624.
The current S&P trading environment has been in breakout mode since 3400, but dangerously overbought as we approach 3600.
Three Stocks to Watch
CRWD- CrowdStrike reported earnings last night and saw a beat on both the top and bottom line. The company guided Q3 higher and raised FY21, so investors might wonder why the stock is trading 7% lower premarket. They should realize that the stock ran 30 points higher this week into the report so a little profit taking is warranted.
MDB- Big 43.59% beat and raise from MongoDB had the stock up 8% after hours last night.The database software company has almost doubled this year and looks to open at all-time highs.
TSLA- After the stock ripped into the split on Monday, Tesla has seen some pressure and fallen over 20% from highs. This morning, the stock traded down over 8% and threatens to break the $400 level. Pre-split, this level is equivalent to $2000, so traders will have their eye on if this spot can hold.
Zacks’ Single Best Pick to Double
From thousands of stocks, 5 Zacks experts each picked their favorite to gain +100% or more in months to come. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
With users in 180 countries and soaring revenues, it’s set to thrive on remote working long after the pandemic ends. No wonder it recently offered a stunning $600 million stock buy-back plan.
The sky’s the limit for this emerging tech giant. And the earlier you get in, the greater your potential gain.
Click Here, See It Free >>