.

Swing Trade Idea – November 26, 2021

Market Setup

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

•Yield curve flatter and shifted higher as bonds are bid

•US dollar lower and bid to Yen and Swissie

News: Covid: new variant detected in S Africa-uncertainty on vaccine effectiveness. Europe cases rising; China: CCP pressing DIDI to delist from NYSE due to security concerns

•Stocks: PDD revenue miss;

•Indices: World indices are risk-off. USA indices are negative gamma and with a short trading day there is a possibility for accelerated selling as well as a bounce. One can use the premarket lows as a  line in the sand, where below the drop can be swift.  Large cap tech along with bonds are the safe harbor but pay attention to TSLA and AAPL for clues to QQQ.

•Sectors: Leading: nat gas, gold miners, long bonds, biotech Lagging: bitcoin, airlines, energy, China internet, small caps, financials

•Stocks to watch: 

NEM TLT MRNA PFE CLX NFLX  PDD CCL UAL OXYSpec Names: RBLX

Earnings PDD

Indices UNG GDX yen TLT GLD SLV IBB /btc JETS XLE KWEB IWM XLF EEM TAN XLI DBC XRT SLX DIA

S&P500 MRNA PFE NFLX DGX CLX NEM ABT INCY CCL UAL EXPE OXY APA DAL LYV MRO BA ALK HAL FCX WFC

WSB RBLX  OCGN GOEV RIOT AMC BA HUT ROT WISH CLF MVIS NIO GME GSAT ANY TLRY PLUG CLNE ASTS CCJ

Idea QQQ

QQQ is the strongest USA index with greatest risk to the downside should the market sell-off but can also act as a support if cyclicals are sold off. One can use the premarket low 393.2 as a level to think short and premarket high 396.1 for long.  Currently consolidating at the Tues and Wed lows. Watch AAPL and TSLA for clues.