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Swing Trade Idea – August 26, 2022

Global Markets:  USA, Europe, Japan, China, Hong Kong Asia – Neutral global set-up

•Commodities:  Gold, Silver, Oil and natgas, Grains, Industrial Metals

•Yields: Yields higher

•US$ -.10% EUR +.25% JPY -.38%

•News: USA: 830ET PCE; 10ET Powell, UofM Consumer Sentiment and inflation expectations Europe: German Consumer Sentiment new lows Japan: CPI 2.6% vs 2.5% Oil: OPEC members talking cuts

•Stocks: EA potential AMZN acq TTWO higher; WDAY beat; DELL miss; MRVL beat –guidance; ESTC beat; AFRM –guidance; GPS beat, no guidance; ULTA guidance+;  China Internets bouncing on a report that China is trying to reach an agreement with SEC

•General: Leading: Energy Lagging: China Internet, ARKK, Goldminers

•Indices: USA Markets pulled back overnight after Thurs late-day squeeze awaiting PCE data and Powell this morning. Indices are negative gamma leading to larger moves. Rates higher premarket can pressure equities but will be volatile today SPY above 415 gamma level which may act as support with support at 410, 400 below and resistance  420, 425, 430. QQQ above 315 gamma level with  315, 310 305 support and 320, 322 resistance. VIX 22.3 implies a 1.4% daily move. Indices are negative gamma and may react strongly to Powell and PCE. Post Powell speaking Vix tends to drop, which is positive for markets; however, with current positioning in QQQ, a large downdraft is possible if deemed hawkish.  SPY > 420 is a long trigger or < 415 is a caution level

•Stocks to watch: EA TTWO JD BABA TELL  AFRM MRVL Spec Names FTCH TLRY

Pre-800ET

Earnings WDAY ULTA JKS GPS  AFRM DELL MRVL ESTC VMW

Indices XOP XLE KWEB ARKK GDX GLD TLT XBI EEM XLK EFA SOXX QQQ

S&P500 EA TTWO ULTA CNC HPQ CCL LYB LIN JNPR NCLH

IWM SAVA BCRX PLAB SIGA PLUG LTHM BE CROX

WSB AFRM COIN UPST BABA PLUG MSTR NIO CCJ FIGS AMD BA AMZNTrade Idea: PDD
China stocks are bouncing on the announcement of an agreement between China and the USA on audits. A threat to China stocks has been potential delisting. PDD reports earnings next week and may have a run into earnings. Premarket high 65 for a momentum long or look for a pullback >=60