Notable Earnings And Last Day Of Summer! Where Does The Market Go From Here? | PS60 Process

Here's Dan Shapiro to help you find your edge, master your process, and own your future. >> Hey guys, good evening everybody. Happy Monday and welcome to another edition of the axis of thetrader.com nightly wrap-up show. Hope everybody had a a wonderful uh wonderful weekend. Hope everybody had a great month of trading. Hope everybody had a great summer. Uh again, we are literally about a week away from Labor Day. Uh you will see slowly but surely as the week progresses, you are either going to have a very very aggressive day and stocks are going to expand or you are depending how what you trade or or exactly what type of groups you trade. You might find yourself in a very very slower pace day uh based on price action, right? Based on order flow and money flow into your group. Today turned out to be a very very aggressive day. Uh we'll get to that in a second. But uh again, last day of August. Uh even though the Dow, S&P, uh and the NASDAQ finished in the red today, definitely some good things happen in the month of August. Technically, uh that can propel us into the last run, the fourth quarter run uh into the holiday season and end of 2026. Number one, uh we closed the month despite the weakness at least in the benchmarks with a fifth straight month of price appreciation, right? And all the major benchmarks, which is very very good. Uh August was extremely good for the bulls in the technology space because well, we accomplish by reclaiming back the 50-day moving average. It looked very very bleak for a while. uh especially when you go through the July 29 lows, it looks like it looked like really we were about to fall off a cliff. But again, every single day, like we talked about it, its own individual uh own individual uh kind of conversational piece and we've been now building above the 50-day moving average pretty much 90% of the time since we had that move uh that aggressive move on August the 4th. So, that's a good thing, right? That's absolutely good thing. Is everything uh participating in the rally? Uh I would say no, right? I would absolutely say no. But there are definitely enough names especially in the mega cap uh technology space that did very very well uh this month, right? Especially this month. So let's talk about them, right? Microsoft for the majority part of the year looked like last night's garbage and then finally in August had this magnificent run. Had a great quarter and now after this really really aggressive 5-day run uh out of the 817 channel. It's just resting right. I still think it probably needs a couple more days to get a little bit of breather. We're still seeing some really really aggressive good order flow on the name and eventually the 518 channel of last week should be tested. But I think if it is going to be on the healthy side, it's going to need to kind of balance out for the next uh couple of days. Nvidia had a great quarter, right? Absolutely great quarter. Uh had a phenomenal run for all of us who traded uh Nvidia last Thursday. Was just absolutely awesome. Uh is just resting. It's it's it's digesting its earnings. Uh the good news is it reclaimed back the 50-day moving average on August the 3rd and and since then retested it successfully and now it's just going through a distribution cycle. Again remember the longer the distribution the higher probability the stock will come out of that distribution. uh PLTR another, you know, really good winner, right? You know, really, really good winner this quarter. Again, had that massive, massive move on earnings, went sideways, reclaimed, went sideways, and now it's very, very close to reclaiming back last week's channel and making move. You guys remember they were pounding uh those 190s, short-term 190s. Well, it's almost there, right? It's almost there. The key now for PLTR as it's digesting its recent moves, continue to go sideways and continue to start betting into those 200s. The longer it goes sideways and the higher probability they start betting betting betting into those 200 of calls, the higher probability it will actually get there. Did every single stock look great this quarter? No, it didn't. But the ones that did are continuing to look good. Again, CRWD, phenomenal quarter, right? really really phenomenal quarter had a big move up multimonth engulfing candle uh rested on Friday resumed today again this thing starts building back above today's channel tomorrow this thing will wake up the group that led us up let us back down and now there is glimpses of it reclaiming back some fire let's talk about them right let's start off with Micron okay so Micron again godlike move absolutely godlike move uh in the last couple of years. Uh you know, lost the 50-day moving average, got smoked, reclaimed the 50-day moving average, went on a 3-day run, it got smoked. This is now the first close above the 50-day moving average on Micron, okay? If the money flow is going to go back into these memory chips, guys, keep an eye on the 827 channel. If it could reclaim back the 827 channel, this thing has enough juice. I mean, anybody's ever traded Micron will tell you this thing has enough juice that if it starts reclaiming back the August highs. This thing could see a thousand just like that. Is it going to does it need to happen tomorrow? Nothing needs to happen tomorrow. But again, know your levels, right? Know your levels, set the reminders. That's the whole point. Set the reminders on key levels and let the price action take care of itself. Second name in the group, again, same uh, you know, kind of same notes is SanDisk, right? You got SanDisk, um, you know, had an godlike run, right? Same thing as in the video. Had a god-like run, lost the 50-day moving average. Literally went from 1,800 to to a,000 just when it lost the 50-day moving average. It's not that far away from reclaiming back the 50-day. Last time it reclaimed the 50-day, it had a very, very short run, but it had a run from 1660 all the way up to 1827, by the way, in 24 hours. That's the power of the 50-day. So, if this thing could reclaim back the 50-day moving average in the next couple of days, this thing could wake up as well. So, you got Micron, you got Sandis very, very close to confirming and reclaiming back the 50-day moving average. Can this spark kind of a big jolt of flames to the rest of the technology group? Sure, why not, right? That's the whole point. Uh Apple has been uh definitely awake in the last couple of days. Have reclaimed the 50-day moving average in the last two weeks. Is going through a nice distribution channel. Going through this nice kind of sideways action for the last week or so. This thing needs to get back above Friday's highs. If it gets back over Friday's highs, this thing could wake up. And last but not least, right, last but not least, which we had a great day today with Tesla. Tesla finally reclaimed back the 50-day moving average. Okay, now usually I'd be jumping for joy. We we caught it really well today, right? Really, really well. It got back above the 50-day moving average at 360. Uh it got back above the highs from two weeks ago, 360650. Now, this is the highest close in this whole formation. Here is where I don't want to play Debbie Downer. I want to be optimistic Dan. I want to be lovable, social, you know, friendly Dan. But man, oh man, could we possibly get a follow-through, right? Is it that much to ask for? Any stock that's get gets back above the 50-day moving average usually puts in at least a 2, three, 4 day run before this thing rests. The last time Tesla got back above the 50-day moving average was on June the 29th. And the stock went from 4 uh 4, what was it? 408, right? 408 to 432. This was the last time. This is now the first close above the 50-day moving average. If it can just get back above today's highs, get back above today's channels. And granted, folks, there's still a couple of supply zones in between. You can see at 370 372, but if we could clear out this whole channel here and start filling in this whole earnings debacle gap. Well, why can't this thing start going to 378 to 150day moving average or start printing in the higher mid80s? I know it's a lot of work, right? Because again, you see all these supply zones. It's definitely going to be a lot of work, but the point is it's above the 50-day, right? It's above the 50-day. That is the ultimate ultimate bullish signal. The problem is with this stock, and we've seen this now over the last year or so, maybe almost two years or so, and every investor will tell you, this stock has an issue. It has a problem with living with prosperity. Maybe tomorrow it'll finally be different. It will confirm today's channel and give us a really, really aggressive run. The crazy part about Tesla today, guys, you got to see some of the call buying that came in today. Let me let me just look at my notes. There was some I mean stupid ret I I mean ridiculous. I don't want to be, you know, I don't want to get cancelled, bro. There was some absolutely ridiculous call buying coming in today. Let me let me give you guys some some of the some of the notes. One buyer came in and this is this is for uh this is for February, right? One buyer came in for the February of 520 calls, right? Considering the stock was at 360 520s, all right, you know, it doesn't sound too crazy, but it was pretty crazy. And then we started seeing the most bananas, right? Absolutely bananas type of betting, guys. They were betting the 620s, not once, not twice. I saw five different orders come in for 2027 620 calls. If you thought the 520 bets were a little bit romantic, 160 points out of the money with only like 5 months left, well, they're betting for the stock to double by next June. Again, I'm romantic as much as the next guy. But before we get to 520, could we at least confirm today's channel tomorrow? Right. Not a lot to ask for. Uh what couple of names that are not, you know, acting well. They continue just not acting well. You got uh Amazon, uh, you know, again, had a great day on Friday. I'm still waiting for this upper channel to get loose and has been very very frustrated because it had great numbers and I get it. Jeff Bezos is selling and this that and the third because this is one of those names that it has one update and then dies. Here I'll give you an example on 8:19 had a really really up nice update and then it died, right? It died literally for the next week. Thursday had a really big nice update and then today it just absolutely died. News came out that the FTC is filing some allegations uh that uh Amazon deceived its advertisers. Again, nothing that's going to move the needle, but the point is it just can't get going. Google, right? another name ga came very very close a couple of weeks ago reclaiming back the 50-day moving average. It just stayed below supply. It's going to need to kind of wake up. It's going to be one of the next trades that we're looking for eventually if it gets back above the 50-day. And guys, if you're a brand new viewer, it's nowhere near the 50 days. I'm just kind of speaking in future terms. But this will be definitely the next one. if it could reclaim back the 50-day moving average, this thing can really, really wake up and start, you know, start joining the living. Um, I like the circle, you know, I like the circle chart. Circle broke out again above the 50-day moving average on August the 11th. This thing is very close to busting out as well. The key to this name is it needs to start busting out with some massive call buying. If we start seeing some hundreds, some 110s, some 105s come in for short-term expiration, then then I will be interested, right? I will be interested. Uh but until then, it's just kind of just dragging up, dragging up, dragging up. But we need definitely need that call buying as well. So now that August is over, tomorrow is September, uh the 1st, I know school has started for uh many of you, your kids. Uh my son already started two weeks ago in college. my daughter I believe starting on Wednesday people again towards this middle of the week will be leaving or are still on vacation you will see the natural market organic flow come back in after Labor Day until then just remember okay we are building very very nicely above the 50-day moving average things change on a dime watch Micron watch SanDisk right those names look really really good but let's you know if there is market gods and you guys listen to me could we just get a multi-day rally on Tesla. I mean, we're above the 50-day moving average. It's really not that much to ask for, guys. God bless everybody. Have a great night. Hope everybody's doing well. And God's help, I'll see you all on the field tomorrow. Take care.