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Swing Trade Idea – June 2, 2021

Market View

World equity markets are mixed with USA mildly positive, Europe mixed, Japan green, Hong Kong red, China red and Asia mixed. Yield curve is flatter which is positive for growth stocks. US dollar is up which is weighing on commodities and foreign equities. USA indices are very muted in the premarket without a clear direction indicated. SPY is in the 10d value range after opening above on Monday. Major SPY gamma levels are 420 (support), 425 call wall (resistance) and 417.5 (bear below).  Set-up is for a range day to day with Fed beige book and Fed speakers possible news catalysts.  Gamma squeeze continues with AMC the leader and attracting massive option volume and BB following. AMZN announced that they support legalization of cannabis and have dropped testing of employees which may inject some movement in the sector

Stocks to Watch

Earnings AAP HOME HPE RLX STNE ZM

Indices /BTC XLE XBI JETS XLF DIA ICLN GDX EEM YEN SLV TAN

S&P500 DXC SBAC APA MRO AON ETSY V WDC SLB AMD BIIB ODFL FTI HPE NEM FCX GPS HD QCOM TSLA MU TPR

Movers RLX SRNE MDLA AMBA VRNT DXC SBAC TM ZM LE ETSY RIDE  IRTC WPRT CNK GOTU EXPR IMAX PGNY QCOM TSLA

WSB AMC BB MVIS SKLZ KOSS RIOT TLRY NOK BBBY GOEV RKT AMD SNDL GE TSLA NIO PLUG RBLX HOFV DLPN

Cannabis TLRY CGC CRON GRWG

Stock Idea; AAP

AAP is a swing idea. AAP reported revenue and earnings beats and is positioned well into the next quarter. Auto parts sector has been performing well and benefits from the  growth of used car sales.  On an intraday basis 198 is the premarket high that may act as resistance. 210 is the May highs which can act as a target. 50 SMA can be a level to lean against.ORLY and AZO are other companies in the sector.