.

Swing Trade Idea – September 24, 2021

Market View

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

•Yield curve slightly steeper with the 10yr yield rising

•US dollar higher which is negative for equities and commodities

•News: China increasing clampdown on crypto; Evergrande in default missing payment on US dollar debt; Bonds falling on meme that Dems attaching debt ceiling extension to massive spending bill with Fed quick taper will spike yields; UK ration fuel to gas stations due to driver shortage

•Stocks: NKE earnings, warned of supply shortages affecting holiday shipments; COST earnings beat;

• USA indices are being led by DJIA with Nasdaq100 lagging. Breadth is uniformly weak with both technology and financials down. S&P500 key level is 4400 as below that level dealers will be selling into a decline. 4450 is resistance based on market positioning. FANG stocks are all weak with TSLA leading to the downside

•Stocks to watch: NKE COST MRK UXIN AFRM LMT

Stocks to Watch

Earnings DRI NKE COST

Indices GDX GLD TLT GBTC KWEB ARKK  EEM IWM SMH ARKF JETS QQQ

S&P500 MRK CNP TMO COST LMT AEP CCL NKE UAA NVDA FCX WDC LIN LRCX TSLA MRO PYPL LVS AMD

Movers UXIN PRGS CAKE AZN MRK PLAY CNP NKE TCOM INVH RDS EDIT MU

WSB AFRM GOEV HUT RIOT ANY NET ASTS GSAT HOOD PLTR PLUG NIO CLF

Stock Idea; AFRM

AFRM is a bullish stock on a weak day. Catalyst today is a Mizuho upgrade to $150 as well as heavy hedge fund call activity. Premarket high 131.76 can be used for a momentum trade or look for a pullback.  Risk-off day so take care.