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Stocks Climbed Amid Stimulus Hope and Improved Earnings

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STATE OF THE MARKETS

Stocks climbed amid stimulus hope and improved earnings. US equities climbed higher on the back of improved earnings reported by major banks and corporations; fueled by Treasury Secretary nominee Janet Yellen’s statement to the Senate that America need to “act big” to save the Covid ridden economy. The benchmark 10Y yield slid lower, below 1.10%, as more than $68 billion flowed into the Treasury coffer.

The risk-on sentiments, sent crude higher on the hope of improved demand as vaccine roll-out completed by mid-summer. The black gold closed nearly $53/bl with more than $200 million worth of block orders in the futures market. Gold retained bidders as new stimulus raised concerns of rising inflation. The yellow metal advanced higher, breaking $1850/oz, in the early Asian trading, Wednesday.

In the FX space, the greenback took a pullback in the short-term, while remain well supported in the medium-term. The global reserve currency took a step back in the long-term accounts, paving way to Kiwi and Swiss, while remain supported by Yen and Euro.


G8 CURRENCIES SENTIMENTS

ST EUR GBP AUD CHF NZD CAD USD JPY ST
MT CAD USD JPY CHF GBP EUR AUD NZD MT
LT GBP AUD CAD NZD CHF USD JPY EUR LT
** ST refers to Short-Term which is daily turnover, MT is Medium Term which is 
weekly
and LT refers to Long-Term which is monthly turnover.

WALL ST MOST ACTIVE

TICKER LAST PRICE

% CHANGE

VOLUME 90 DAYS AVG
SENS 2.85 + 80.38 409,923.7K 7,845.7K
INUV 1.45 + 123.01 263,174.5K 3,845.5K
AMC 3.06 + 31.33 256,276.0K 22,489.3K
TRXC 3.49 + 68.60 209,779.6K 9,987.6K
ZOM 1.08 + 10.76 199,768.9K 97,781.2K
GEVO 11.03 + 72.34 149,739.4K 24,074.6K
BNGO 9.14 + 8.42 138,334.1K 45,497.2K
ACRS 18.83 + 220.24 114,362.2K 574.2K
BB 12.35 + 25.51 112,483.2K 16,274.8K
NIO 58.44 + 3.86 99,561.1K 155,609.2K
** % Change here refer to price vs previous day price

WALL ST TOP FLOWS

TICKER LAST PRICE

VOLUME

% CHANGE FUNDS FLOW $
TSLA 844.55 25,366.9K – 50.38 21,423.6M
AAPL 127.83 90,757.3K – 19.40 11,601.5M
AMZN 3,120.76 3,305.1K – 8.35 10,314.4M
FB 261.10 28,028.5K + 44.20 7,318.2M
MSFT 216.44 30,480.8K  + 14.06 6,597.3M
NFLX 501.77 12,315.8K + 190.35 6,179.7M
BABA 251.65 23,681.8K – 36.17 5,959.5M
NIO 58.44 99,561.1K – 28.29 5,818.3M
PLUG 66.47 62,967.3K + 10.19 4,185.4M
AMD 89.45 45,115.0K + 7.93 4,035.5M
** % change here refers to volume vs. 20 days average volume.

TOP 5 BLOCK ORDERS

TICKER PRICE/STRIKE TYPE VOL/OI FUNDS FLOW
SLB 25.42/26.50 stock options/call 149.77 540.2M
SENS 2.85/3.00 stock options/call 108.79 1,168.3M
GC 1,831.00 – 1,831.20 gold futures 600 109.9M
ZN 136.2450 US bond futures 5,000 68,122.5M
CL 52.38 – 53.08 crude oil futures 3,871 205.0M

OUR PICK – Cronos Group (CRON, NASDAQ)

Cannabis is overrated and has a long way to go.  When cannabis was legalized in Canada and certain states in the US, “weed stocks” as they called it, was the craze of the day. Now that with Democrat in control of the House, Senate, and the White House; talk is high that cannabis stocks are making a come back. Indeed, since the beginning of November last year, the sector has rallied massively by 40% to 150%, surpassing the markets 15% return. With Q4 earnings coming in March, we see Cronos making a pullback after bearish engulfing candle on Tuesday, suggesting a sell on rally for the short to medium term with $12 stop. In the long term, however, we see Cronos has a room for further growth.

HORIZON STRATEGY SL TP1 TP2
Short-Term Sell 12.00 9.80 9.00
Medium-Term Sell 12.00 9.50 8.50
Long-Term Buy 6.80 11.00 12.50

Note: If you require fundamental reports for this stock, please contact your account manager or [email protected] for a copy.

 

Disclaimer:

This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.