What You Need to Know

Hey…it’s Jay Simon, and here’s what you need to know about the markets today.

We have economic news at 8:30 a.m. EST (Advance GDP & Unemployment Claims), but no news after market that should impact the market.

Yesterday the market suffered it’s worst day since December 2022. Lackluster earnings on Tesla and Alphabet plus recession concerns were the reason for the switch to a bearish sentiment.

Stocks in the NASDAQ are showing some signs of life premarket, but be cautious and wait for the daily trend to emerge before entering any trade.

Trade of the Day: 2 Ways

I’m once again watching NVDA. It dipped into a large weekly area of potential support/supply I have on my charts between 110.24 and 113.44.

For Calls:

To buy Calls we will want to see price hold above VWAP after market open and the sentiment clearly switching to Bullish. Be patient, wait for a trend to emerge, and only buy on dips. Sentiment is mixed on my lower timeframes.

Resistance levels:

• 114.25(prior close)

• 115.00 (big round number)

• 115.50 (premarket high)

For Puts:

To buy Puts we will want to see price meet resistance, then move and stay below VWAP.

Support levels:

• 113.44 (weekly chart + yesterday’s low)

• 112.00 (round number + premarket analysis)

• 111.52 (premarket low)

Profit Pointers

Every email I try to impart one market insight that will help you develop into a better trader. Here is today’s golden nugget…

Don’t base today’s trade on what happened yesterday. Today is a new day and anything can happen after the market opens. Let the story unfold and become clear before entering a trade. Once a trend has been established, buy on pullbacks to give yourself the best risk-to-reward.