Hope your weekend is going well! Here is a quick recap of Markets for the Week of November 3rd, 2023 and what we are watching this week 👨‍🏫

What a difference a week makes…last week brought the S&P 500 into correction territory and this week's rally brought it back above both its 200-day and 50-day moving averages as it had its best week since June 2022.

The sharp drop in rates acted as a springboard for stocks, aided by short-covering activity and a fear of missing out on further gains in a seasonally strong period for the market.

We wrote about how oversold markets were heading into the week but this was one hell of a bounce by the raging bulls.

• Dow Jones: Best week since October 2022

• Russell 2000: Best week since February 2021

• S&P 500: Best week since June 2022

• Nasdaq: Best week since Nov 2022

Is this the start of a Christmas Rally or will the momentum run out of gas?

Here are the key points from last week:

• 10-yr note yield - declined 31 basis points to 4.51% and the 2yr note fell 17 basis points to 4.86%.

• FOMC meeting and Powell’s press conference - the committee voted unanimously to leave the target range for the fed funds rate unchanged at 5.25-5.50%. Fed Chair Powell's press conference was deemed less-hawkish than feared. Mr. Powell noted that the Fed has come very far with its rate-hike cycle and that policy decisions have gotten more two-sided.

• The October jobs report - showed slower payroll growth, rising unemployment, and slower wage growth resonating with the Fed’s "soft landing” thesis.

• The Treasury reduced its Q4 borrowing estimate - by $76 billion to $776 billion. The Treasury said its Q4 refunding would involve larger issuance and auction sizes for 2-, 3-, 5-, and 7-yr maturities than 10-, 20-, and 30-yr maturities.

$SPY: Very strong bounce +6% by Bulls at that 410 support level we wrote about last week. S&P 500 reclaimed 420 and traded to our 430 and 435 price targets.

Is the Christmas Rally (a period of sustained increases in the stock market heading into year end) back on?

Markets need to retrace to cool off some as we are short-term overbought as of the close on Friday. But just like Starbucks brought out their holidays cup and your neighbors already putting up their Christmas decorations….a higher low above 415-420 confirms, Christmas is coming! 🎅😁

$QQQ:  reclaimed that 355 support we wrote about last week and also had a strong bounce into its 355-365 supply zone. It closed Friday right at the top of its downtrending channel line so we can expect a pullback coming soon.

I do a weekly Markets analysis every Monday during “Office Hours” 8:30pm EST via zoom for the Ceni Capital Community I will be speaking about what the Christmas Rally is, how we plan to capitalize and the stocks I am watching for swing trades this week.

If you are interested in making your money work for you by getting our swing trade alerts ahead of time, reply back or comment “I am interested” for more information.

💾 $AMD: reported earnings last week and here’s what we said. Even though investors were initially turned off by Q4 sales outlook they quickly changed their mind during the earnings call.

CEO Lisa Su stated AMD anticipated Data Center GPU revenue to reach $2 billion in 2024 accelerating quarterly from $400 million expected in Q4.

AMD reclaimed $100 we wrote about and gave us a quick +13% as it traded to $112 to close the week

📺$NFLX: gave us that continuation we wrote about here now +$88 or 25% since our callout pre-earnings as it tagged our $430 price target Friday.

🚘$UBER: Uber is reporting earnings on Tuesday. This has been a nice swing for us +55% since our callout back in April. It has been consolidating and held up nicely as markets sold off August - October but it needs to get over $50 resistance to start it’s next wave up.

🧙‍♂️$DIS: Disney is reporting earnings on Wednesday. To say the chart has a lot of work to do is an understatement. Disney's shares are down 14.3% over the last 12 months and is the fourth-worst performer in the Dow Jones. All attention will be on it’s declining linear-TV revenue, streaming losses and theme-parks segment.

Is it time to play catch up or new 52wk lows in store?

Learn to make your money work for you, rather than you chasing it. If you are interested in getting our swing trade alerts ahead of time, reply back or comment “I am interested ” for more information.

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See you next week! 👋