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Swing Trade Idea – June 23, 2020

Market View

World equity markets are broadly up in the premarket with Europe strong on PMIs recessionary but better than expected; China green and USA up, led by small caps.  Yield curve is steeper which is a positive for financials; energy is higher and USD is lower so all factors are positive for markets.  Overnight futures were down after comments were interpreted that the trade deal was dead but then denied which reversed the market. Today looks like a day  for outperformance by small caps, industrials, reits and financials relative to tech. Would watch the open since there has been a tendency to fade strength.  S&P 500 is approaching the top of recent range so watch for breakout or reversal.

Premarket names:

AAPL upgrade and WWDC,  NKE upgrade and earnings this week ETSY FASLY momo upgraded; financials, AAL secondary WKHS electric trucks

Stock Idea: NKE

NKE is running into earnings, is receiving upgrades (113)  with resistance at 101 and 104. Hourly chart has a gap above 101.7 to 103. Look for pullback after open if considering a long.