Gold makes new high

For Trading JULY 9th

Gold Makes New Recovery High

JPM Upgrades NKLA

Today’s market got off to a slightly higher start and spent the day between up and down 100 until the last hour when we rallied up to close +$177.10 (.68%), NASDAQ +148.61 (1.44%), S&P 500 +24.62 (.78%), the Russell +11.41 (.81%) and the DJ Transports +43.82 (.47%). Market internals were 1.4:1 in both NYSE and NASDAQ while volume was 3:2 up on the NYSE. DJIA was 22:7 up and RTX was unchanged. Volume was average. The continued weakness in the U.S. Dollar has had little effect on the market, but the commodities side has had a solid bid under it. The gold and silver are acting the way you would expect, making new recovery highs, but we are also seeing strength in any international market that is quoted in dollars. I expect this to continue and these markets to move higher. Deficits and continuing zero rates are a powerful influence.

We sold the balance of the remaining NEM 7/17 $60’s bought @ 1.55 and added to last Friday @ $1.30 for an average of $1.47 triggered a 100% Up Rule sale at $2.94, and yesterday’s sale was @ $3.20, and today we took $4.30 for the balance. We also own a position in SLV 8/21 17 calls @ $ .74, and they closed $1.04, and we also added a spread using the NEM 8/65 / 70 calls at a $1.30 debit which closed $1.47.

Our “open forum” on Discord, which allows me to interact with subscribers and others to allow direct questions and chart opinions on just about any stock, continues to grow with more participants every day. It is informative and allows me to share insights as the market is open and moving. The link is: https://discord.gg/ATvC7YZ and I will be there and active from before the open and all day. It’s a great place to share ideas and gain some insights, and we’ve grown to almost 1900 members. I also did this video titled “How to survive being an options trader and not blow up your account,” over the long weekend. I think it’s highly informative as a guide to stock selection and option choices. The link is https://youtu.be/Y7H9RpWfLlo Enjoy!!

Tonight’s closing comment video https://youtu.be/jzTwzoH_a54 SECTORS: The FAANG names all recovered with AAPL making yet another new high after yesterday’s selloff. In the news we had Allstate taking over National General for cash and ALL finished $88.22 +4.43 and NGHC finishing $33.84 +13.43 (65%). Nikola (NKLA) was upgraded by JPM and after falling back from $70 to $40 finished the day $54.03 +13.80 (34.3%). TWTR was higher on news that they were considering a new-tier Subscription service level that sent the stock higher by 2.42 (7.3%). After the close, BBBY reported a loss and decline in sales even with a 100% increase in e-commerce. The stock closed $10.41 +.17 but fell to $8.99 and finished extended hours at $9.59 - .82 (9%). Last, Altimmune (ALT) disclosed the initial dosing of the first patient in Phase 1 trials of their single dose nasal formulation of “NasoShield” a vaccine for Anthrax. The stock, up from $3.00 just last month, hit a high of $20.65 before closing $17.03 +5.84 (52%).

FOOD SUPPLY CHAIN was LOWER with TSN -.20, CAG -.18, MDLZ -.72, KHC -.05, CALM -.78, JJSF +1.20, SAFM -.73, HRL -.24, SJM -1.34, PPC -.45, PPC -.45, KR -1.14, and PBJ -.11 (.36%).

BIOPHARMA was HIGHER with BIIB +10.75, ABBV +.15, REGN +3.87, ISRG +5.62, GILD -.65, MYL +.08, TEVA +.19, VRTX -3.06, BHC -.88, INCY -.38, ICPT -1.22, LABU +2.93, IBB $140.89 +.83 (.59%).

CANNABIS: was LOWER with TLRY -.09, CGC -.09, ACB -.29, CRON -.01, GWPH -.62, CURLF -.06, KERN +.11, MJ $13.04 -.04 (.31%).

DEFENSE: was MIXED with LMT -1.39, GD -.93, TXT +.22, NOC -2.47, BWXT -.61, TDY +5.24, RTX +.28 and ITA $160.65 +.33 (.21%).

RETAIL: was HIGHER with M +.84, JWN +1.98, KSS +1.98, DDS +1.01, WMT -1.38, TGT -.07, RL +1.57, UAA +.16, LULU +3.41, TPR +.45, CPRI +.40, and XRT $44.32 +.54 (1.23%).

FAANG and Big Cap: were HIGHER with GOOGL +15.69, AMZN +95.88, AAPL +9.51, FB +3.55, NFLX +12.06, NVDA +16.33, TSLA -28.83, BABA +21.56, BIDU +3.15, CMG +6.90, CAT +1.30, BA +1.89, DIS +3.32, and XLK $107.72 +1.73 (1.63%).

FINANCIALS were HIGHER with GS +2.94, JPM +.99, BAC +.13, MS +1.51, C +.67, PNC +.43, AIG +.75, TRV +.70, AXP -.09, V +1.21 and XLF $23.17 +.24 (1.05%).

OIL, $40.90 +.28. Oil continues to trade in short ranges without much movement, but today’s close is the highest in the current consolidation. I mentioned in last night’s charts with comments section in the Weekly Strategies letter, prices are trying to work higher towards $45.00. We needed a close over the previous high close of $40.83 and today we finally did. The stocks were higher with XLE $36.23 -.03 (.08%).

GOLD, $1820.70 +10.70. After making a new recovery high of $1,829 we finished the day at another new closing high. I expect this move to continue to work higher to new highs. As I mentioned earlier in this note, the U. S. dollar continues to be supportive to higher prices of world commodities quoted in US$. We bought back the 3rd and final lot of NEM @ $58.86. And, we also closed out the final portion of our July 60 calls @ $4.30. We still own a spread in the August expiration long 65 / 70 spread at a $1.30 debit.

BITCOIN: closed $9,510 +220. Since last week we have closed between 9200 – 9285 every day with narrow ranges and today was a good start to move higher. A break over 10,000 still sends us higher. We added 350 shares of GBTC @ $10.02 to our position of 400 @ $8.06, bringing our average price to $8.97. GBTC closed $10.32 + .56 today.

Tomorrow is another day.

CAM