Pre-Open Market Comments – Wednesday

Yesterday the market posted solid gains and it rallied above the 50-day MA. The buying started right from the open and it was not a news related rally. That means that everyone had a chance to buy on the open and it legitimizes the move since it was not news driven. Earnings season typically attracts buyers. I will not be a “believer” until I see back to back gains and a close above the 200-day MA.After the close yesterday NFLX lost 200K subscribers when a gain of 2.5 million subscribers was projected. The stock took a pounding after the close. IBM posted solid numbers and it is up after reporting. TSLA will report earnings after the close today. Higher raw material costs and Covid-19 related production issues in China could be problematic. We will see. Guidance will be critical for all companies this quarter.

Daily Bulletin Continues...