It was yet another huge week for the bulls, with markets soaring off the heels of a slightly cooler-than-expected CPI print. Despite J. Pow’s unwillingness to budge on interest rates, the Wednesday gap-ups held in 2 out of the 3 major indexes. In other news;
- AAPL stuns at WWDC
- Musk gets paid
- The Fed holds rates
- TrendSpider celebrates Father’s Day
Despite the undeniable strength in the markets, investor sentiment is in the pits. Will indexes continue to climb the wall of worry, or is a rug pull on the horizon? Let’s dig into the charts and see how the week shaped up!
Weekly Analysis
SPY (SPDR S&P 500)
After a powerful gap-up on Wednesday, the SPY ETF stayed strong into the weekend, holding the gap and closing at $542.78 (+1.64%). The price now sits right below the 1.618 golden Fibonacci extension from the March highs, a key level to gain for a continuation move in the weeks to come.
QQQ (Invesco QQQ Trust)
The QQQ ETF was in a league of its own this week, closing well above the 1.618 golden Fibonacci extension at $479.19 (+3.51%). With AAPL leading the charge off the heels of its blockbuster WWDC event, this index is now showing its highest RSI reading since December 2023.
IWM (iShares Russell 2000)
The small caps continued their doldrums this week, filling Wednesday’s gap up and closing nearly at the lows of the week at $198.73 (-1.22%). On Friday, the price also failed below the year-to-date anchored VWAP, which means the average buyer in 2024 is now underwater. If previous losses of this level are any indication, we could be stuck below it for a few weeks.
Earnings
Notable Results
ADBE (Adobe)
- EPS: $4.48 vs $4.39 est
- SALES: $5.31B vs $5.29B est
AVGO (Broadcom)
- EPS: $10.96 vs $10.84 est
- SALES: $12.49B vs $12.03B est
ORCL (Oracle)
- EPS: $1.63 vs $1.65 est
- SALES: $14.30B vs $14.55B est
ADSK (AutoDesk)
- EPS: $1.87 vs $1.77 est
- SALES: $1.42B vs $1.39B est
RH (Restoration Hardware)
- EPS: $($0.40) vs $(0.12) est
- SALES: $726.96M vs $724.70M est
PLAY (Dave & Buster’s)
- EPS: $1.12 vs $1.70 est
- SALES: $588.10M vs $621.26M est
CASY (Casey’s General Stores)
- EPS: $2.34 vs $1.72 est
- SALES: $3.60B vs $3.48B est
FCEL (FuelCell Energy Inc.)
- EPS: $($0.07) vs $(0.08) est
- SALES: $22.42M vs $21.35M est
What’s Happening Now
AAPL (Apple)
Apple has shown impressive performance in July over the past 8 years, boasting a remarkable 100% win rate and a mean return of +8.23%. This trend is particularly noteworthy given the recent surge following the WWDC24 event that sent Apple to fresh ATHs.
OXY (Occidental Petroleum)
Warren Buffett’s Berkshire Hathaway has boosted its stake in OXY, taking advantage of the 17% decline since April 15. These purchases bring Berkshire’s total share count to 252.3 million, worth over $15 billion, firmly securing OXY as his 6th largest holding.
NVDA (Nvidia)
As NVDA continues its march higher, insiders have started to come out of the woodwork to sell some shares. Tench Coxe, Nvidia’s third-largest shareholder, cashed in $120M worth of shares that he purchased for $0.82 in 1997, for an insane 304,375% return.
Believe it or not, this is just a fraction of what happened in the markets this week. For a full run down delivered straight to your inbox every weekend, sign up for The Official TrendSpider Newsletter.
Market Update Into September 7th: Inflation Data Incoming