The LongVol Show - Ep 23
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This is the weekly article and Pod/Video Show 23. If you’re new here welcome, make sure to subscribe on YouTube and/or Spotify – you can get free daily market updates on LongVolReport.com.
Three main topics for today’s show – as always, a life update then:
- Articles of Interest from This Week
- Broad Market Overview
- Roaring Kitty Buys Chewy Sock
- Nike Stock is Down over 20% on Earnings
- Weekly Q&A
If you’re new – this is not investment advice, I only manage money for accredited investors and qualified institutions – if that’s not you, then you can access the AST Alerts Free for 21 Days.
Quote of The Week
Favorite Articles This Week
Now on Spotify
The Market at Large
- Jobs data this week is a bit skewed as always and likely gets revised down. May and April jobs were revised down. This may be the inflection point here that the Fed has been waiting on esp. given the revisions we’re seeing so September cut likely.
- July meeting is worth watching now given this print.
- Concern is that even with this print that the market (at large) seemed to not care, I would have expected a bigger rally on certain names.
- $NFLX was a name in Momentum Monitor and some notes below into this week had me concerned to chase on these highs.
- Earnings season is a few weeks out. Many names inside the MM (which are broad market names) do no have quality long signal on our models.
- Been waiting to allocate some capial for Q3 but have really just been waiting here his week
- XHB and other names off the highs well but some of these names still have really strong cash flow.
- Still optimistic to watch this sector into August/September.
- REITS tend to perform well after 1/2 cuts so we still track there.
I prefer to trade these names – if you want coverage on them use the LongVol Digital Membership. It’s 50% off for new members through the end of Summer.
Roaring Kitty Buys Chewy Stock
This week Roaring Kitty took a 6.6% stake in the pet-retailer sending the stock up pre-market. The day before he posted a photo of a dog which halted the name and saw it rally as well. (Reuters)
- We flagged this June 2 in the report after a notable earnings call
- Gross margins & net margins were up
- $500B share buyback
NIKE: JUST BUY IT....FOR A TRADE.
The stock dropped last week about -20% from low $90s to $70s on revenue dropping and sales slowing. (Barons Article)
- Situations like this always catch my attention (stock on sale).
- I don’t like to trade them the day-after or even week after, prefer to consolidate a bit and let the Discord degenerates forget about it then start to look around.
- Technical: $67-$73 area is of interest to watch for me with $60 being the line in the sand.
- Potential to stabilize and improve into next earnings then asses what comes next.
- Probably getting added to Swing Monitor
- Data above courtesy of Insider Arbitrage.
Final Word.
- Q&A From Readers
- Don’t Forget – LongVol Digital is 50% for The Summer for 12 Months
- Issue 27 of TLV out Sunday
Next Lesson
Final Quarter of 2024 Stock Market
Stock Market Stimulus
The Main Event is Here
About the Author
Daniel Bustamante is the founder, managing partner, and CIO of Bustamante Capital Management L.L.C., a multi-strategy investment management firm based in San Juan, Puerto Rico. He has over 10 years of experience in the financial industry, specializing in equities, futures, and event-driven trading strategies.
He is also the founder of TheLongVol.com, a blog and newsletter that shares his insights on his investing process, travel, and other private investments. He has been featured in Bloomberg, Arizona Business Journal, Business Insider, Yahoo! Finance, Forbes, Seeking Alpha, and other publications over his career on Wall Street.
