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Market Rap 05/18/23 by CTG

SPY 5 days, hourly candles S&P futures continued the strong action from yesterday and pushed over those highs 416.52 the pre mkt high 414.78 the corresponding futures low

SPY 6 months, daily candles Bull break of the recent range yesterday on increased volume, heading up to test 3month/6month highs. (resistance)

415.86 the high from yesterday - trading a tad above there currently for the small gap up open set up

417.62 the 5/1 high

418.31 the 2/2 high (support)

411.97 the daily 12ema(white) back underneath as support

410.64 the low from yesterday

408.64-409.07


QQQ 5 days, hourly candles Nasdaq futures also seeing continuation of yesterdays bullish action 332.22 the pre mkt high

330.90 the corresponding futures low

QQQ 3 months and 1yr daily candles The bullish action continued yesterday as we head up to test 1yr highs (resistance)

331.71 the high from yesterday - trading a tad above there currently for the small gap up open set up

334.42 the 8/16/22 high

After that, the next areas of resistance get into April '22 levels (support)

327.04 the low from yesterday

324.54 the daily 12ema(white)

322.94


June Vix futures 3 months, daily candles Lower lows found again yesterday, continuation of new lows today

Spot Vix 3 months, daily candles Big back down yesterday, hanging out near those lows so far today. The daily inverse head and shoulders look still has potential if that lower 16 area holds up though

$DXY 3 months, daily candles The dollar's staying strong right along with equities

https://www.briefing.com/stock-market-update The S&P 500 futures are up 8 points and are trading 0.2% above fair value. The Nasdaq 100 futures are up 37 points and are trading 0.3% above fair value. The Dow Jones Industrial Average futures are up 18 points and are trading fractionally above fair value. Stock futures are modestly higher driven by carryover momentum from yesterday's rally, continued strength in regional bank stocks, and a positive response to Walmart's (WMT) earnings results. Ongoing optimism about the debt ceiling discussions is also helping. Treasuries are little changed from yesterday's settlement levels. The 2-yr note yield is up three basis points to 4.18% and the 10-yr note yield is up three basis points to 3.60%. Market participants will receive the following economic data today:

  • 8:30 ET: Weekly Initial Claims (Briefing.com consensus 259,000; prior 264,000), Continuing Claims (prior 1.813 mln), and May Philadelphia Fed Survey (Briefing.com consensus -16.0; prior -31.3)

  • 10:00 ET: April Existing Home Sales (Briefing.com consensus 4.30 mln; prior 4.44 mln) and April Leading Indicators (Briefing.com consensus -0.5%; prior -1.2%)

  • 10:30 ET: Weekly natural gas inventories (prior +78 bcf)

In corporate news:

  • Walmart (WMT 151.96, +2.43, +1.6%): beats by $0.15, beats on revs; guides Q2 EPS below consensus, revs in-line; raises FY24 EPS guidance; Q1 Wal-Mart US comps +7.4%

  • Snowflake (SNOW 177.88, +3.86, +2.2%): jumping on reports it is in talks to buy Neeva, which develops software combining search with large-language models, according to The Information

  • Alibaba (BABA 89.77, -0.88, -1.0%): beats by RMB1.24, reports revs in-line

  • Cisco (CSCO 45.85, -1.78, -3.7%): beats by $0.03, beats on revs; guides JulQ EPS above consensus, mid-point of revs above consensus; Total product orders were down 23%.

  • Bath & Body Works (BBWI 37.35, +3.33, +9.8%): beats by $0.07, reports revs in-line; guides Q2 EPS in-line, revs in-line; guides FY24 EPS in-line, reaffirms FY24 revs guidance

  • Take-Two (TTWO 141.03, +16.01, +12.8%): misses by $2.37, beats on revs; guides JunQ EPS below consensus, bookings below consensus; guides FY24 EPS below consensus, bookings below consensus; expects next phase of growth in FY25 with over $8.0 bln in net bookings

  • Synopsys (SNPS 384.31, +7.23, +1.9%): beats by $0.07, reports revs in-line; guides Q3 EPS above consensus, revs in-line; guides FY23 EPS above consensus, revs in-line

  • Netflix (NFLX 345.50, +5.54, +1.6%): President of worldwide advertising Jeremi Gorman at conference last night said that ad supported tier now has 5 million global monthly active users

  • Canada Goose (GOOS 23.35, +2.91, +14.2%): beats by CAD0.07, beats on revs; guides Q1 EPS below consensus, revs in-line; guides FY24 EPS in-line, revs above consensus


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