LIVE Marketcast Call W/ Christian Tharp, CMT

The current market is showing signs of strength, with futures up and the S&P potentially testing its highs. Several stocks are showing interesting price movements, including Google, Amazon, Tesla, and Home Depot, while others like MSTR appear to be in a bubble. The speaker discusses the importance of considering stock behavior relative to moving averages and highlights specific stocks that might be suitable for trading based on their price action.

Market Outlook

• 00:01:04 The market is showing signs of strength with futures up, potentially testing highs. Concerns remain about momentum and the 80-line, but the overall expectation is for a move higher. This optimistic view stems from recent market behavior and technical indicators pointing towards an upward trend.

Moving Average Importance

• 00:05:51 The speaker emphasizes that the relevance of moving averages depends on the stock's behavior and the trader's timeframe. He advocates for focusing on price levels where a stock has historically reacted, rather than blindly relying on a specific moving average as support or resistance. Traders should analyze the stock's history with the moving average to understand its significance.

Google Stock Analysis

• 00:08:15 Google stock is closely following its 200-day moving average, suggesting a potential rebound opportunity. The speaker believes that Google is trying to hold the 200-day, which offers a potential buying opportunity with a stop loss below the 200-day moving average. Conversely, shorting the stock might be less attractive until a break below the 200-day is observed.

MSTR Stock Bubble

• 00:18:06 The speaker believes that MSTR is in a bubble due to its rapid price increase and historical patterns of bubble formation. He highlights that bubbles eventually pop and result in significant retracements, although the timing of the pop is uncertain. This perspective is contrasted with the opinions of some traders who might have a vested interest in maintaining the illusion of sustained growth.

Other Stock Observations

• 00:12:00 The speaker analyzes various other stocks, including Amazon, Tesla, Home Depot, and CrowdStrike, providing observations on their price action and potential trading opportunities. Some stocks are noted as potential breakouts or breakdowns based on pre-market trends and the speaker's experience.