DailyPlay – Adjusting Trade (GS) & Closing Trade (FSLR, CRWD) – August 08, 2025
Closing Trade GS Bullish Trade Adjustment Signal...
Read MoreMarket Outlook:
A volatile week saw the S&P 500 as well as the Nasdaq-100 end the week in the red. Both indices broke below their respective key levels which indicates further declines ahead for this week. However, the VIX has declined for 2 sessions in a row despite declines in the major indices. This can sometimes be used as a short-term bullish signal as the bearish move is displaying signs of slowing momentum – A move lower in the major indices and a move lower in the VIX can act as a reversal signal. However, we view the overall macro picture as slightly negative for equities as markets continue to price in an additional rate hike for 2022 despite Friday’s low non-farm payroll number. We expect another volatile week as inflation numbers are released and continue to be a key theme in markets.
CSCO Bullish Trade Idea:
Our bullish trade today is the Cisco Systems Inc (CSCO). CSCO’s strategy in transitioning to a higher-margin services type business is continuing to pay off. From a technical perspective, CSCO recently broke above the $60 resistance level with strong momentum and has pulled back to this level to provide a better risk/reward bullish entry. On a relative basis, CSCO is starting to outperform the communications sector which it is highly exposed to as well as the technology sector.
As this is a long call vertical spread, look to take profits at 75%-100% gain and cut losses at 50%:
Closing Trade GS Bullish Trade Adjustment Signal...
Read MoreXYZ Bullish Opening Trade Signal Investment Rationale...
Read MoreCRWD Bearish Opening Trade Signal Investment Rationale...
Read MoreClosing Trade PINS Bullish Opening Trade Signal Investment...
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