Good morning traders! Today, we will discuss the trade strategies for SPY, NVDA, AMZN, META, and TSLA. At Market Clubhouse, we have a dynamic equation that calculates the price levels taking into account price, volume, and options flow. We update these levels daily and discuss them with all Clubhouse members during our Morning Call before the market opens.
Our focus for today is on closely monitoring these stocks and leveraging any potential breakouts or reversals. As a trader, always stay alert and ready to adjust your tactics according to the market’s pulse in order to optimize your gains. Let’s now dive into the stock analysis:
SPDR S&P 500 ETF Trust
SPY, a prominent ETF tracking the S&P 500, is mixed in the premarket due to a hotter than expected PCE reading and some positive news out of the debt ceiling discussions. A deal could be finalized by the end of today. If the market believes a deal will be made, or a deal is indeed made today, we should see a reaction across the markets with bullish momentum.
Currently, we are between the channels of 414.46 and 415.71. If we break out to the upside, we have a Market Clubhouse level of 416.54. On continued bullish buying, we could see further bull targets of 417.47 and 418.17. However, if the news takes a bearish turn, expect 414.46 to fail with downside targets of 413.59 and 412.59.
NVIDIA, the global tech giant, is now positioned in the support channel of 376.84 and 384.49. A strong market could bring a break out of the 384.49 level with targets of 390.33, 394.89, and 399.46.
If there is weakness below 376.84, we could see 370.79 tested as support once again today. With all the weekly contracts expiring today, NVIDIA could be pinned for most of the day’s trade with little price action. Look for clues in other tech players and the broader market on how to proceed.
Amazon, a global technology behemoth with diverse interests, sold off yesterday during regular trading hours below our Clubhouse level of 114.98 but later reclaimed it in yesterday’s afternoon session and afterhours.
We are now around our level of 115.94. If Amazon can confidently reclaim 115.94 with momentum, we should look for an upside target of 117.15. However, instability in Amazon could lead to 114.98 being tested once again. Our downside target is below 114.98 at 114 flat.
Meta Platforms Inc.
Meta, formerly named Facebook, Inc., is an American multinational technology conglomerate which was somewhat mixed yesterday. Although it looked like it could reclaim our level of 254.75, the momentum of buyers fizzled out towards the end of yesterday’s session.
We are looking for Meta to reclaim 254.75 to the upside with a target of 255.98. If Meta fails to reclaim 254.75 in today’s session, expect 252.01 to be tested to the downside for support, with a potential downside target of 249.96.
Tesla, the renowned EV manufacturer, had a sharp sell-off yesterday to open up the session but rebounded to close out the day.
We are currently finding the price action between the levels of 184.10 and 186.10. On a strong buying day, the upside target would be 187.88. On a softer day, we would see 182.53 and possibly 181.37 tested once again.
Final Word: Today’s session will revolve around the debt ceiling discussions. If a deal is made or there are headlines hinting that the deal is coming close to being finalized, we can expect the market to rally. The market is closed on Monday for Memorial Day. Please trade smart today so that you can enjoy your long weekend. Good luck out there!
Professional trader RIPS, a seasoned veteran in equities, options, and futures trading, is at the heart of the Market Clubhouse, offering his insights and expertise in the fast-paced world of trading. Start your day with daily market analysis, a carefully selected watch list, and exclusive Market Clubhouse price levels, providing precise support and resistance indicators. Join RIPS in his live trading room every day at https://MarketClubhouse.club/Free, where you can trade live with him and tap into his wealth of knowledge and experience.