Market review from UTEX – week 3
Steady growth on the stock market and an explosion of volumes in crypto!
Over the week, the SPY rose 2%, while the Nasdaq rose 3%. Meanwhile, Tesla shares fell by 12% amid competition with Chinese companies. Otherwise, there was little movement. Several large banks reported on Friday, with neutral reactions to the reports.
On Wednesday, the SEC approved eleven spot bitcoin-ETFs. On the first day, trading volume reached $4.6B! BTC itself reacted with a short-term rise to $49,000, then a correction began and it is now trading around $43,000.
This week does not promise any major events. During four trading days there will be several reports, mainly from the banking sector, which is not volatile and difficult to trade. But from 22 January more than half of the companies will report in a fortnight. Therefore, let's take our time, enter the earning season smoothly, and from Monday pay all attention to the market and increase volumes.
Top 5 stocks this week
Ally Financial (ALLY). The report is on 19 January before the open. Bank holding company, one of the largest in the U.S. in terms of auto loans. Very strong resistance level at $35. If it opens above or breaks above it on volume, it's a buy.
The Travelers Companies (TRV). The report is 19 January before the open. One of the largest insurance companies in the US. The stock broke through all-time highs last week, a good profit-taking point. Sector is complicated, be careful.
Fastenal Co. (FAST). The report is on 18 January before the open. Major industrial products distributor consolidates near highs. The $63.50–$64 level is key from 2022. Long if the stock consolidates above.
PPG Industries (PPG). The report is on 18 January after the close. World's largest paint and coatings maker. If the stock breaks the $152-$153 resistance level after the report, the next stop is $180 in the mid-term.
Discover Financial Services (DFS). Report on 17 January after the close. Another company in the financial sector, with student loans and mortgages as its main areas of focus. Shares rose 20% during the quarter. In December and January, several major investment banks gave a "Buy" recommendation on the stock. Profit taking is possible on the day of the report. Long above $113.
Successful trades, everyone!
