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Market Trends | Markets
Are Chips Getting Left Behind? Market Trends This Week
David Russell
October 31, 2024

Downloads are available here. TradeStation’s ideas on TradingView are available here.

Check out our next “State of the Market,” on Monday, 11/4.

Tickets for the Crossroads Summit 2024, sponsored by TradeStation Group, can be accessed here.

Sizing Up the S&P 500

  • S&P 500 squeezes between 5800 and falling trendline
  • Historical volatility slowing before earnings, election
  • Last week’s low of 5762 is a potential level to watch in event of a pullback
  • Intermarket:
S&P 500, daily chart, with select patterns and indicators.

Are Chips Falling Behind?

  • NVDA, AVGO, TSM are the only major semiconductor stocks with 52-week highs in the last month.
  • Other parts of growth making highs:
    • Communications: META NFLX RDDT SPOT TMUS T
    • Software: PLTR ADSK TTD NOW PANW ANET
    • E-commerce: EXPE BKNG DASH PYPL
    • Tech hardware: AAPL CSCO GLW
  • “Picks and shovels” lagging: AMAT TER LRCX

Noteworthy Points

  • SMCI -33% (biggest drop in 6 years) after auditor resigns
  • Case Shiller: Home price appreciation showing “signs of strain.”
  • Potential trendline breakdowns: AMD CMG
  • TRV retraces most of earnings surge

Upcoming Events

  • Earnings this afternoon: AAPL AMZN INTC
  • Fri 11/1: Non-farm payrolls
    • Earnings: CVX XOM
  • Mon 11/4: Chinese stimulus expected
    • Earnings: PLTR WYNN
  • Tue 11/5: Elections
    • Earnings: MLCO MCHP
  • Wed 11/6: Crude oil inventories
    • Earnings: QCOM ARM
  • Thu 11/7: Fed meeting (1 day later than usual)
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About the author

David Russell
David Russell is Global Head of Market Strategy at TradeStation. Drawing on nearly two decades of experience as a financial journalist and analyst, his background includes equities, emerging markets, fixed-income and derivatives. He previously worked at Bloomberg News, CNBC and E*TRADE Financial. Russell systematically reviews countless global financial headlines and indicators in search of broad tradable trends that present opportunities repeatedly over time. Customers can expect him to keep them apprised of sector leadership, relative strength and the big stories – especially those overlooked by other commentators. He’s also a big fan of generating leverage with options to limit capital at risk.

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