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Date: Oct 16, 2023 

Laurie’s Abbreviation Index:

** ‘div’ – dividend 

** ‘m/m’ – month over month

** ‘y/y’ – year over year

** ‘Inven’ – inventories

** ‘mfg’ – manufacturing 

** +/- – plus or minus, positive or negative

** Underlined text – higher volume premarket

** ‘d’ – day

**govt – government 

Color Key: Positive – Neutral – Negative

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

·         Commodities: Gold, Silver, Oil, natgas, AGGS, Industrial Metals 

·         Yields: Yields higher Currencies:  USA -.22%

·         News: USA: Empire State mfg 830ET; Harker 1030ET JPN: Industrial production -0.7% m/m

·         Stocks: SCHW +1.2% EPS report LULU +5.5% add to S&P500, CVS +2% Rite Aid bankruptcy PFE -0.8% Big Earnings Revision and write offs NVO -0.8% Buying a drug, AAPL -0.6% Downgrade, GS moving away, losing to Huawei in China TSLA -1% earnings Tues NVDA -0.9% USA govt talking China restrictions again

·         Overview: USA SPY 432.9 with support at 430 and resistance at 435 and 440.  SPY expected move +/- 4.52, QQQ 365.65 with resistance at 370 and support at 365 and 360.  QQQ expected move +/- 4.53.  Macro set-up is mixed with yields sharply higher but US$ lower. USA equities are mildly higher led by IWM which is counter intuitive based on move in yields, but financials are leading and IWM was deeply oversold. Little economic data today so 0DTE are in control.  Volatility is elevated hence should help support markets as puts decay into Friday expiration.  Weaknesses in NVDA, TSLA and AAPL are a concern, but MSFT is bid.  Look for BTD crowd in FAANGMT names that are down at 10 AM.  Today’s daily expected move levels: SPY (436.02-426.98), QQQ (369.81-360.75), IWM (172.67-167.87), SPX(4372.97-4282.59).  Consumer confidence 10ET will be market moving.

Stocks to watch LULU, COIN, SCHW, JPM, MSFT, CVS, AAPL, NVDA, TSLA, PFE     

Spec Names 

Pre-800ET
Earnings SCHW 

Indices /btc, IWM, XLE, KRE, XLB, XLF, XLI, FEZ, XLP, VXX, TLT, KWEB, GLD, GDX, UUP

S&P500 CVS, DHI, CL, SCHW, XOM, HUM, ALB, PXD, CVX, BAC, MRO, MS, MRNA, ELV, ENPH, PFE, NVDA, TSLA, CMI, PNC, ED, AAPL

IWM PTEN, MSTR, FRO, ESTE, KBH

WSB MSTR, COIN, AFRM, PLTR, NVDA, TSLA

Movers LULU, DRS, COIN, DB, FRO, BTI, BHP, SCHW, RIO, UBS, W, XOM, VALE, BAC, MANU, BNTX, TTD, MRNA, LI, ENPH, XPEV, PFE, BILI, JD, NVDA, PLTR, TSLA

Trade Idea: LULU

LULU is trading higher on news that it’s being added to S&P500.  Extended in premarket with high 402.85 which can be used for a momentum long. Pullbacks >=397.5 can be considered.  Expected move for the week is +/-17.