STATE OF THE MARKETS
Stocks down ahead of NFP. US stocks erased earlier gains on Thursday, after comments from two Fed’s officials that the inflation fight is “still in the early days” and there is no indication that it has peaked. Dow (-1.15%) fell the most, followed by S&P (-1.02%), Nasdaq (-0.68%) and Russell (-0.58%). Bonds had another day of sell-off, sending yields higher, with the 10Y benchmark back above 3.82% and the 1Y having spiked down near 0.03% before settling above 4.17%. The Dollar index climbed further and closed above the 112 handle.
In the commodity markets, crude continued to climb higher and settled above $88.30/bl as traders continue to weigh the impact of OPEC+ production cut. Gold remained under pressure and closed lower, below $1,712.10/oz, as investors buy on Dollars amid fears of raising rates. Elsewhere, iron ore received bids from speculative buyers that helped float the commodity near $95.50/tn.
In the FX space, short term traders were more bearish as Dollar, Yen and Swiss took the lead in demand while Aussie and Kiwi flipped to offer. Overall sentiments were bearish as Kiwi flipped back to offers in the medium term accounts while long term accounts remained unchanged.
On Friday, markets expect a more volatile session as any increase in payroll numbers and stable unemployment could spark another sell-off in equities. Earnings to watch include Tilray Brands (TLRY) and Matrix Service (MTRX) as well as the much awaited US NFP and labor markets data.
G8 CURRENCIES SENTIMENTS
| ST | USD | JPY | CHF | EUR | CAD | AUD | GBP | NZD | ST |
| MT | GBP | EUR | USD | CAD | JPY | NZD | CHF | AUD | MT |
| LT | USD | CHF | EUR | GBP | JPY | CAD | AUD | NZD | LT |
** ST refers to Short-Term daily turnover, MT is Medium Term weekly
and LT refers to Long-Term monthly turnover.
WALL ST MOST ACTIVE
| TICKER | LAST PRICE |
% CHANGE |
VOLUME | 90 DAYS AVG |
| TQQQ | 22.01 | – 2.52 | 237,519.0K | 172,123.9K |
| SQQQ | 52.97 | + 2.64 | 134,210.7K | 122,831.2K |
| SOXL | 11.19 | – 2.01 | 117,122.1K | 72,039.7K |
| TLRY | 3.90 | + 30.87 | 103,419.3K | 22,819.8K |
| AMD | 67.85 | – 0.13 | 98,325.9K | 84,708.4K |
| CCL | 6.98 | – 6.06 | 86,817.1K | 56,738.7K |
| SPY | 373.20 | – 1.03 | 82,342.5K | 81,140.6K |
| PEGY | 4.55 | + 64.86 | 80,516.8K | 2,146.1K |
| TSLA | 238.13 | – 1.11 | 69,298.4K | 80,418.8K |
| TWTR | 49.39 | – 3.72 | 68,511.0K | 14,945.6K |
** % Change here refers to price vs previous day price
WALL ST TOP FLOWS
| TICKER | LAST PRICE |
VOLUME |
% CHANGE | FUNDS FLOW $ |
| TSLA | 238.13 | 69,298.4K | – 0.92 | 16,502.0M |
| AAPL | 145.43 | 68,402.1K | – 32.86 | 9,947.7M |
| NVDA | 131.30 | 64,415.6K | + 9.01 | 8,457.8M |
| AMD | 67.85 | 98,325.9K | + 21.50 | 6,671.4M |
| AMZN | 120.30 | 42,253.7K | – 27.46 | 5,083.1M |
| META | 139.07 | 36,231.0K | + 11.45 | 5,038.6M |
| MSFT | 246.79 | 20,239.8K | – 28.74 | 4,995.0M |
| TWTR | 49.39 | 68,511.0K | + 243.34 | 3,383.8M |
| XOM | 102.06 | 29,124.7K | + 34.67 | 2,972.5M |
| GOOGL | 101.42 | 22,323.9K | – 24.28 | 2,264.1M |
** % change here refers to volume vs. 20 days average volume.
TOP 5 BLOCK ORDERS
| TICKER | PRICE | TYPE | VOL/OI | FUNDS FLOW |
| CVNA | 21.13 | stock/options | 105.34 | 191.2M |
| WDC | 37.06 | stock/options | 77.73 | 335.6M |
| INVZ | 5.43 | stocks/options | 71.30 | 5.8M |
| NQ | 11,528.25 | NASDAQ futures | 28,732 | 331.3M |
| ES | 3,751.75 | S&P futures | 54,374 | 204.1M |
OUR PICK – No New Picks
No new picks going into the weekend. It seems that markets never stop exiting and piling up on cash as equities (-$6.8 billion) continue to report outflows alongside taxable bonds (-$4.1 billion) and the short term money markets (-$24.7 billion) this week. It’s obvious that smart money is piling into value names and select sectors like energy, materials and technology this week.
Trades updates:
Equities: CRON (29% undervalued with 23.21 z-score), AUY (22% undervalued, 2.41% yields) and M (44% undervalued, 3.59% yields) continue to climb higher, while VIPS (40% undervalued with 3.92 z-score), WBA (35% undervalued, 5.95% yields) and SQ (about fairly valued with 4.96 z-score) remained resilient this week. T (7% undervalued, 7.01% yields) continue to be under pressure.
FX & Commodities: silver and crude oil were stopped out on Dollar weakness and USD/CAD was filled.
For more high probability picks, please use our Trading Central services. You could also join us at MFM’s TradeCopy
| HORIZON | STRATEGY | SL | TP1 | TP2 |
| Short-Term | – | – | – | – |
| Medium-Term | – | – | – | – |
| Long-Term | – | – | – | – |
Disclaimer:
This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
