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Swing Trade Idea – October 29, 2020

Market View

In the premarket global markets are mixed ahead of US GDP and UE claims with USA mixed, Europe red, Japan red, Hong Kong Red, China red and Asia red. US dollar continues its strength which is a negative for equities and commodities. Yield curve is slightly flatter which is negative for financials and small caps.  Markets bounced overnight and started selling off on the European open and are continuing to sell as I am writing. Earnings reports were generally good so major catalyst appears to be rising Covid cases and derisking ahead of major earnings reports and the USA election. Nasdaq is currently leading the USA markets with FB leading and FAANGM all green. As usual,  FAANGM will determine the direction today. Should S&P500 continue to fall, the Sept lows and 3200 are the obvious target where buyers may come in.

Premarket names:

PINS massive beat TWTR FB sympathy; CMCSA earnings beat; TPR beat; MRNA earnings; CTSH earnings beat; BNTX upgrade; YUMC beat; CARR earnings beat; NOW beat; MRVL buying IPHI; F earnings beat; SHOP earnings beat; SNE continuation Alternate energy NIO BE LI 

Stock Idea; FB

FB is showing relative strength and benefiting from SNAP and PINS earnings. If USA markets will bounce FB is a can be a leader.