.

Swing Trade Idea – January 04, 2022

Market Setup

• Global markets are mixed with USA green, Europe green, Japan green, Hong Kong green, China red, Asia mixed

• Yield curve steeper with long yields higher, usually positive for financials and reflation stocks

• US dollar higher usually not positive for commodities. S&P has been correlated with the US dollar recently

• News: Europe, China, Japan: Positive econ data; USA:  ISM PMI and Jolts 10ET; Covid cases increasing but Travel and Leisure stocks bid; OPEC+ meeting today and API providing US crude supplies

• Stocks: F doubled F-150 production targets to 150k annually; SE down as TCEHY reducing it’s stake from 21% to < 10%;

• Indices: USA indices are positive led by DJIA index with Nasdaq lagging. Yield curve steepening sharply can be a negative for growth stocks.  SPX4800 is a major gamma level which will act as a pivot. Resistance 4825 and support 4775. Break below 4745 can lead to sharp move lower

• Sectors: Leading: Airlines, Energy, Financials, Homebuilder, DJIA Lagging: Yen, China Internet, Brazil, Lithium

• Stocks to watch:  TSLA F FSLR HAL PYPL SE WMG FL Spec Names: RIOT RBLX

• Movers

• Earnings

• Indices /btc JETS XLE XLF DIA XHB SMH XOP XLI ARKK IWM SPY /6j SLV KWEB LIT /6e

• S&P500: UA HPE HAL CCL F GE NCLH ALK BA OXY KO  LUV MRNA TROW NDAQ GPS HON DLR CSCO XYL

• Movers: CLNE SPWR FSLR TSM TLRY MARA F SONY SYK CARR AMD WMG SNY XYL MDT NVS BABA

• WSB: MVIS CLNE SKLZ RIOT F SNDL CCJ HOFV BODY BABA BB

Trade Idea HAL

HAL is a continuation trade idea. Big move Monday but potential to reach 25.  Energy strong Mon and premarket so one could look for a dip on the open (>=23.30). Also note OPEC+ and API crude storage numbers intraday today