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Equities Roundup: Gaining Traction

US STOCKS

The latest bid for stocks off Wednesday's lows for the month is gaining traction ahead midday: DJIA up 241.02 points (0.72%) at 33543.89, S&P E-Minis up 41.25 points (1.01%) at 4117.25, Nasdaq up 194.2 points (1.6%) at 12048.77.

  • Eminis butting up against 20-day EMA resistance, a continuation of today's rally puts focus on next resistance of 4164.25, the April 24 high, a clear break above this EMA would ease bearish pressure.
  • On the flipside, the week's sell-off to April lows resulted in a break below both the 20- and 50-day EMAs. The break of the 50-day EMA strengthens short-term bearish conditions and signals scope for an extension lower, towards 4061.11 next and 4018.75, Fibonacci retracement points.
  • While contending with this morning's increased inflation metrics that underscored likely 25bp hike from the Fed next week (and tempering year-end implied rate cuts), trading desks citing better on average quarterly earnings announcements.
  • Re: earnings, the following is a list of larger stocks expected after the close: T-Mobile US Inc; Capital One Financial Corp; Hartford Financial Services; L3Harris Technologies Inc; Amazon.com Inc; Olin Corp; United States Steel Corp; Intel Corp; Weyerhaeuser Co; Pinterest Inc; Gilead Sciences Inc; Snap Inc; Amgen Inc.

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