NMS Investment Research

  The S&P 500 closed near its all-time high on Friday after the Fed cut rates by 50bps on Wednesday. The Fed 's jumbo rate cut might have surprise d some investors on Wall Street, per CNN. But coincidentally, three US Democrat senator s , Warren, Whitehouse and Hickenlooper, sent a letter to J. Powell on Monday to urge the FOMC to cut even deeper, by 75 bps. The Fed 's action has sent the 2Y treasury yield to dip below its 600-day EMA, meaning the US could be entering a recession or already be in a recession. In the past 25 years, all three US recession s occurred after the 2Y treasury yield drop ped below its 600-day EMA. Don't rush to sell everything just yet. If it is just a mild recession, it should have minimal impact on the financial markets so let 's see how the Fed will re act to economic and inflation data in the next few months. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click

The S&P 500 broke above the key 5,600 resistance level to close at 5,626.02 on Friday. Next week, t he index may be retesting the trendline resistance ~ 5,643. The market is expecting a 25 basis point rate cut on Wednesday but some strategists have already raised their expectations for a 50 basis point cut . Pending the Fed's decisions, a breakout could send the S&P 500 higher to retest the trendline resistance at 5,732. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click here to view the latest update !

Tesla stock made a failed breakout after Elon Musk delayed his 8/8 Tesla robotaxi event to October 10 and Tesla's financial results for Q2 2024 were disappointing. Investors were disappointed that Tesla did not disclose their Full Self-Driving (FSD) take rate. In mid-May, Elon Musk debunked claims that the take rate for FSD was just a mere 2% after the free subscription ran out , per Teslarati. All eyes are now on the re-scheduled 10/10 Tesla robotaxi event. The stock is retesting its 50-/600-day EMA. The next support level is $207.25 , or the 50% correction level. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click here to view the latest update!

Tesla stock pulled back to retest the July 3 breakout after Elon Musk confirmed that the 8/8 Tesla robotaxi event was delayed due to a design change. All eyes are now focused on Tesla's financial results for Q2 2024 to be released after the market close on July 23. Investors may need to be prepare d for the stock to make a big move, up or down, next week. Tesla EV sales in the U . S . ha ve stalled in Q2, declin ing 6.3% Y-O-Y, while total EV sales in the U.S. climbed 7.3%, per Kelly Blue Book. The stock might not get hit if Tesla bulls can redirect investor's attention from EV sales to the company 's fast growing energy storage business. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click here to view the latest update!

Tesla stock may be about to break out of the symmetrical triangle chart pattern while its RSI is approaching euphoria, 90+. All eyes are now focused on the unveiling of their robotaxis on August 8, despite that the company will post its financial results for Q2 2024 after the market close on July 23. Tesla bulls may have already disregarded the upcoming Q2 results and could push ahead with the stock retesting the $313.56 level, or a $1 trillion market cap, ahead of the August 8 event. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click here to view the latest update!

The S&P 500 ran up to an intraday all-time high at 5,447 . 25 on Wednesday, thank s to Apple stock which also made its intraday all-time high at $2 20.20 per share. Apple launched Apple Intelligence on Monday, an AI model that solves users ' everyday problems. Some investors, who got it wrong about Apple's AI strategy, could decid e to get it now . Goldman Sachs raised the ir S&P 500 year-end target on Friday to 5,600, citing an upbeat profit outlook. In our view, the index could reach the 5,600 level as early as mid-July during the Q2 earnings season, followed by a late summer correction. This note contained herein is our opinion and should not be construed as a recommendation to buy or sell. Click here to view the latest update !