Market review from UTEX – week 26

The S&P 500 and Nasdaq closed last week in a symbolic plus, adding less than 1%. 

There were few strong moves. Salesforce rose 7%, the stock looking to close the gap after a disappointing report. 

Netflix was +5%, with the stock close to its all-time highs in 2021. In March 2022, NFLX was at $180, and many thought there was no prospect. But now the $700 mark is being tested again.

Tuesday marked a historic event for NVIDIA, as it became the world's largest company. But by Friday the capitalization had already rolled back to the 3rd place.

Bitcoin is gradually correcting, now BTC is trading at $61,400. Following it, altcoins are also slowly declining. Usually, alts outperform bitcoin, but there is no panic this time.

On Wednesday, the Fed will publish the results of stress tests in the banking sector, and on Thursday the data on new home sales will be released, but these data should not have a serious impact on the market.

A break is coming until the new earnings season, which will start in mid-July. During these three weeks, the market may correct a bit. Here are some ideas for trading during this lull period.

Carnival (CCL). Report on June 25 before the open. Cruise company, $14 support. For those who believe in the company – buy and forget for a couple years. Stock was $50 before the pandemic, now $16. We believe this is a reasonable price to buy.

FedEx (FDX). Report on June 25 after the close. International delivery and shipping company. The stock shot up to $290 after last report, now corrected to $250. Support $240, target $300. 

Micron Technology (MU). Report on June 26 after the close. Chipmaker that's been stagnant for a long time but is up 112% over the past year. The hottest sector in the market, we don't recommend shorting. Not bad support $120–$130, from these levels you can buy up and hold in the mid-term. Be careful, the stock trades unpredictably on reports.

Nike (NKE). Report on June 27 after the close. The stock looks very promising, there is excellent support at $90. NKE was at $180 in November 2021. Mid-term for one to two years. First target $120–$130. 

Levi Strauss & Co (LEVI). Report on June 26 after the close. Well-known denim brand. We recommended the stock before last report, LEVI added 21% during the quarter. The stock is still in an uptrend, with support at $21.50.

Profitable trades!