Market News 8-7-23

Earnings spotlight: by SeekingAlpha

Monday, August 7 – Tyson Foods (TSN), Lucid Group (LCID), Skyworks Solutions (SWKS), Paramount Global (PARA), and Palantir Technologies (PLTR).

Tuesday, August 8 – Eli Lilly (LLY), United Parcel Service (UPS), Coupang (CPNG), Li Auto (LI), and Datadog (DDOG).

Wednesday, August 9 – Disney (DIS), Trade Desk (TTD), Roblox (RBLX), Wynn Resorts (WYNN), and Brookfield Asset Management (BAM).

Thursday, August 10 – Alibaba (BABA), US Foods (USFD), and Ralph Lauren (RL).

Friday, August 11 – Spectrum Brands (SPB) and Soho House (SHCO).

The market faces a crucial test this week.

Mixed earnings guidance or bullish gaps. All boats are not pulling in the same direction which means we need to get strategic and focus more on sectors and groups.

If the bull market remains, the market “should’ rally this week. We mentioned that during the recent decline that we saw lower lows, lower highs and many popular stocks threatening to confirm a bearish change of trend (#TSLA).


You, yes you will also face a crucial moment this week as well.

2023 produced some massive wins, some easy trade you might day. How will you react when profits are so good that you have to work hard to mess it up? How will you react when small profits turn into small losses?

Here’s some simple math to keep you sane. And some context. One of the biggest myths in trading is the win loss ratio. It’s garbage. So many brag about it but it likely means you are cutting your losses short.

Let these simple numbers settle in before the week begins and you start to obsess about a losing trade.

Risk $1

Reward $2

Ten trades

5 wins, 5 losses

 

$10 wins

$5 losses

= +$5

//

Risk $1

Reward $3

Ten trades

4 wins, 6 losses

$12 wins

$6 losses

= +$6

This does not take into consideration position sizing (for stacked ideas) or holding good trades longer beyond the R3. Which can make these gains much larger than the basic ratio.

Oil Prices Surge To 4-Month Highs After Saudi, Russia Output Cuts

In addition, the world’s top oil exporter Saudi Arabia last Thursday extended its voluntary crude oil output cut of a million barrels per day to the end of September. 

Saudi Arabia’s million barrel per day cut was implemented in July through to August, and the cut “can be extended or extended and deepened,” the state-owned Saudi Press Agency said last week.

 

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Earnings Week Ahead: Disney, Palantir, Plug Power, Roblox, Rivian and More

The second week of August promises to be an eventful one for investors as a slew of major companies is set to report quarterly results

// Read More

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