.

Swing Trade Idea – March 18, 2022

Market Setup

Global Markets:  USA, Europe, Japan, China, Hong Kong Asia

Commodities:  Precious metals, oil and natgas, Grains, industrial metals (aluminum, copper, palladium, zinc)

Yields: higher yield curve flatter – negative for financials

News: USA: Home sales 10ET; Biden to talk to XI  re: Russia;  Canada: Retail Sales

Stocks: STNE ONON positive EPS move; FDX GME neg EPS move;  DJIA Opex today, look for large moves at open and close

Indices: USA indices above the weekly expected move (SPY 432) but pulling back in premarket.  SPY key levels support 435 430 425 420  Resistance 440. Vix remains high but starting to uninvert, which is positive. Market bounce has been driven by put decay which will be lower with 30% of gamma expiring today. SPX closing below 4400 today increases risk of a move lower next week due to loss of put support.

Sectors: Leading: China Internet, bonds,  Lagging Spec tech, clean energy, semis, financials,

Stocks to watch KWEB BIDU TLT  FDX AMD Spec Names:  STNE ONON WRBY

Pre-830ET

Earnings: STNE FDX GME ONON 

Indices: KWEB TLT UUP XOP SLV ARKK ICLN SPY SOXX XLF XLI XLY DIA QQQ XLK IWM SMH

S&P500: GRMN MRO CTRA DVN BA KMI FDX SEDG CCL LIN RCL AAL BAC UPS MU F NVDA PNC PYPL AMD JNJ

Movers STNE ONON GWRE BA GME ABR WING FDX SEDG AMC BABA FB DAL

WSB CCJ BA GME AFRM RBLX PLUG AMC CLF NET NVDA HOOD F BABA AMD

Trade Idea CSX
CSX is an unusual option idea.  High call activity in the June $40 calls. Earnings April 19.  Momentum trade if price > 36.3 or pullback to 35.6 that holds.  Major support 35.