Do you want an early lead this week?
In today’s market analysis, we will dissect the recent movements of major stock market indexes, delve into the upcoming economic calendar and earnings releases, and identify five compelling technical trade setups in stocks with top Zacks Ranks.
Earnings and Economic Data
As we progress into the week, important economic data including preliminary GDP on Thursday and PCE inflation on Friday will provide valuable insights for the Fed’s interest rate policy.
The market’s expectation for the first rate cut has dropped significantly, with the first cut now anticipated at the May meeting.
Image Source: CME Group
This week’s earnings season kicks off with reports from Tesla, Visa, J&J, P&G, Netflix, Intel, T-Mobile, Verizon, Abbott, IBM, Amex, and others.
Market Breakout
The broad market indexes are undeniably strong, highlighted by the S&P 500 breaking out from its sideways consolidation to reach new all-time highs, while the Nasdaq is approaching overbought levels.
Image Source: TradingView
Technical Setups
This week, I will present five trading setups that I believe are among the most compelling in the market – two growth-oriented stocks that could rally significantly if the market remains robust, two defensive stocks that should outperform in times of market weakness, and a Bitcoin adjacent trade.
Image Source: TradingView
Bottom Line
Remember, even the best trading setups can fail. It is crucial for traders to prioritize creating a trading plan, adhering to the plan, and implementing strict risk management protocols.
Wishing all traders a profitable week!
