The big earnings news yesterday was the one-two punch from MSFT and GOOGL. Pre-market, MSFT is still up strong, but GOOGL has sort of petered out into a non-event. To be fair, the NQ is up triple digits (a little more than 1% as of this moment), but I’m not so sure these earnings, which are old news now, are going to change the intermediate trend on the /NQ
A cleaner pattern is found on the /ES, which has a pattern-within-a-pattern. The portion I’ve highlighted is the key top (where a fierce battle at the Fibonacci was waged) whereas the dashed line represents the larger top, whose support has already been damaged (even following the blowout earnings reports mentioned above).
I’d also like to point out something with crude oil which is quite interesting: the explosive move higher on the heels of the shocking OPEC+ announcement several weeks ago has been almost completely neutralized. In other words, the growing realization that the entire global economy is going to be in a multi-year miasma is overcoming the giddy excitement of a global cartel deliberately manipulating what should in fact be a free market. Two crucial support levels (the gap at the trendline) are being approached, and breaking these both would show that there really isn’t much to speak of beneath those long white robes.
For myself, one bit of bad news waiting for me at the open is Boeing (BA) whose earnings sent the stock zipping higher. This position (August $220 puts) will take a hit, but I’ll decide in real time if the daily chart is a dead duck or not.
BONUS CHART: First Republic Bank apparently isn’t done falling.
