Market ready to resume uptrend?

May 19, 2024 - Update

The Nasdaq closed up +2.1% on very strong volume. I guess that after the last inflation data (that was in line with expectations or slightly better), the interest in tech stocks increased significantly.

Looking at the MACD it looks like is about to cross the signal line which might trigger a new bullish period. Yes, it looks bullish to me.

What about the 10-year treasury yield? It decreased by 1.87%, one more good sign.

The good news is that inflation is trending slightly down again and that’s enough to keep away the idea of rates going up again for now.

Inflation nowcast for May sits today at 3.39% (it was at 3.5% a few days ago).

GDP growth for Q2 2024 sits at 3.6% and almost 8 out of 10 companies that have reported so far beat earnings expectations.

Overall it looks to me like a good environment for stocks.

PORTFOLIOS

10X LARGE CAP MOMENTUM (link)

Last week was announced that SQSP 0.00%↑ will be taken private at 44 USD per share. So there is no point in keeping my position. I sold my shares at market prices (43.3) for a healthy 23% gain in less than 2 months. Here is what my Portfolio looks like:

The Portfolio looks solid with BABA 0.00%↑ and PDD 0.00%↑ performing well. I updated my Stop Loss levels.

• This week I am creating a BUY STOP order for 1170 shares of GRAB 0.00%↑ if it touches 3.73 USD. First Stop Loss at 3.29USD

Below is the company description for Grab from SeekingAlpha:

Grab Holdings Limited engages in the provision of superapps in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company offers its Grab ecosystem, a single platform with superapps for driver- and merchant-partners and consumers, that allows access to mobility, delivery, digital financial services, and enterprise sector offerings. Grab Holdings Limited is headquartered in Singapore.

The company is growing revenues fast (>40% last year and >30% this year) and moving into profitability.

I like the volume profile. I’d love to see it move beyond 4 USD.

10X SMALL MOMENTUM CAP

Here I was stopped out from MAPS 0.00%↑ which was a very speculative name for a loss of 15.4%.

Below is my updated Portfolio:

This week I am creating:

• A BUY STOP order for 250 shares of AVPT 0.00%↑ if it touches 8.96USD. First Stop Loss at 7.9USD

• A BUY STOP order for 42 shares of CLS 0.00%↑ if it touches 51.6 USD. FIrst Stop Loss at 43.9USD

Below are the charts of the 2 companies:

I like the chart of Avepoint ($AVPT).

Celestica ($CLS) also has a very good-looking chart.

10X WEEKLY WATCHLIST

Below are the names I was watching closely this week.

PDD BEKE SE ZTO BLBD CLS SRAD CPA AMD FN GRAB YMM TTD MGNI BZ DT ADMA AUPH IREN AGX BMBL CWAN AVPT DOCS UI

That’s all for this week!
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Important: This is not investment advice. Consult a licensed financial advisor before making any investment decision.