Technical Edge —
NYSE Breadth: 12% Upside Volume (!)
Advance/Decline: 16% Advance
VIX: ~$18.75
MSFT had a strong post-earnings reaction, while GOOGL was muted. Now we get META tonight and AMZN tomorrow.
Remember, just seven stocks — yes, seven! — have driven almost 90% of the S&P 500’s gains so far this year. So it’s critical for mega cap tech to keep a bid in these names for the indices to go higher.
The seven leaders combine for more than $9 trillion in market cap.
S&P 500 — ES
The three-day low broke and ES dove lower on Tuesday, with its 10-week moving average stepping in as support. From here, I’m keeping a close eye on the 4133-40 area.
This zone was the prior three-day low, marks the 10-day and 21-day moving averages, and finally, is the 61.8% retrace of this week’s range.
Upside Levels: 4133-4140, 4160-65, 4175-80
Downside levels: 4095-4100 (big on Tuesday), 4070-75
SPY
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