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Swing Trade Ideas – December 22, 2020

Market View

In the premarket world markets are mixed with USA green, Europe green, Japan red, Hong Kong red, China red and Asia mixed. US dollar is slightly up and yield curve slightly flatter are negative/neutral. Oil is lower ahead of inventories which is a slight negative. Memes continue to be USA stimulus, which is being signed today; Brexit soap opera continues; and Covid where vaccines are being administered while impact of new strain is debated.  USA equity markets are relatively flat with AAPL and TSLA providing most of the lift. AAPL is +3% on a story regarding self driving cars and TSLA +.6% which accounts for the majority of the Nasdaq move premarket. Financials are positive, providing support to the markets. S&P500 remains in a trading range with which barring news may likely continue today.  Tech will likely lead today with the strength in AAPL with caveat that it is rather extended D-D on a speculative news story. As usual one must watch the FAANGMT stocks for large cap direction

Premarket names:

AAPL hot today on self driving car story; VLDR LAZR Lidar suppliers for self driving cars; QS batteries; MP materials for batteries; PTON acquisition;  SWI bounce after hack; Genomics EDIT CRSP; Bitcoin MARA RIOT PYPL SQ; EV Alt Energy FCEL PLUG LTHM RIDE LI TSLA

Stock Idea; VLDR

VLDR is a LiDar supplier for self driving cars and drones. Stock has moved up sharply on news that AAPL may be partnering to provide sensors for self driving cars. Citron considers VLDR better value than LAZR, which is a competitor. Caveat, stock has moved rapidly so ripe for a pullback. May run again today but use an intraday pullback for entry.