🔥 July 18 Premarket Movers: SOFI, LAWR, KMRK, SRPT, LCID | Market HIGHER Highs Coming

Summary

In this market update for July 18th, the speaker discusses key economic data, including building permits, housing market trends, and the Michigan consumer sentiment forecast. The stock market is showing positive movement, especially in cryptocurrency-related stocks. Attention is drawn to stocks like SoFi, Lucid, and IPOs like L.AWR and KMRK, which are seeing significant volatility. The speaker also mentions a potential interest rate cut and the influence of big money on stock prices. With some volatility expected, the speaker encourages viewers to stay informed and share their thoughts on the market.

Takeaways

• 😀 The pre-market update includes a focus on July 18th's market movements and key data points such as building permits and starts, which could impact the market volatility.
• 😀 The Michigan Consumer Sentiment is a key data point for today, with a forecast of 60.5, which could either calm the bears or intensify negative market sentiment.
• 😀 The broader market futures are positive, with cryptocurrency-related stocks seeing an uptick due to the rubber-stamping of the Genius Act and similar developments.
• 😀 The S&P 500 faces a major resistance point at 6350, which could lead to extra volatility if the market approaches this level, similar to past resistance levels like 5000 and 6000.
• 😀 There's speculation about a potential 25 basis point rate cut, though the market doesn't currently believe this is on the table for July 30th. Trump has also suggested a 1% interest rate.
• 😀 SoFi is up 1% with no news or SEC filings, and its performance seems driven by FOMO (Fear of Missing Out). It is currently seeing a 52-week high.
• 😀 Short interest in SoFi is 14.13%, with over 153 million shares being shorted. It's trading between two resistance levels, with potential for movement toward the upper resistance.
• 😀 Two new IPO stocks, L AWR and KMRK, are gaining attention due to high trading volumes despite minimal news or SEC filings. L AWR is up nearly 83%, while KMRK is up around 11%.
• 😀 Both L AWR and KMRK IPOs are in the early stages, with no clear short data yet. Investors should be cautious due to the volatility often associated with IPO stocks.
• 😀 SRPT is down 24% due to a patient death linked to gene therapy, continuing a trend of disappointing results. It has a short interest of 15.34%, with a potential support level around $15.69.

Q & A

What economic data is expected to impact the market today?

The building permits and starts report, along with the Michigan consumer sentiment index, are expected to potentially impact the market. Analysts are particularly focused on these data points to gauge the health of the housing market.

Why is there concern around the housing market?

There have been numerous reports predicting that the housing market might 'pop,' which has caused some bearish sentiment. The building permits and starts data could either validate or dismiss these fears.

What resistance level should traders be aware of on the S&P index?

Traders should keep an eye on the 6350 resistance level for the S&P index. This level has the potential to cause volatility, as large resistance points often lead to unpredictable price movements.

What was the sentiment regarding potential interest rate cuts?

There's speculation about a possible 25 basis point rate cut, with some market participants even calling for a 1% interest rate. Trump's comments about the need for a 1% interest rate have added to this sentiment, which could lead to a boost in stock prices.

What is driving SoFi's stock price movement today?

SoFi's stock is up 1%, with no major news or SEC filings, suggesting that the movement is primarily driven by FOMO (Fear Of Missing Out) and general market sentiment.

How are shorts positioned in SoFi's stock?

Short interest in SoFi is relatively high, with 14.13% of the free float being shorted, which amounts to about 153.33 million shares. This indicates significant bearish positioning, though it's not currently causing major volatility.

What are the key price levels for the IPO stock L AWR?

For L AWR (Robot Consulting), the key support level is around $5, followed by $4.40-$4.50. The next resistance levels are around $6 and $7. The stock has gained momentum, but it's still too early to determine precise targets.

What factors are influencing the movement of KMRK's stock?

KMRK has gained 11.24% but lacks significant news or filings. Its movement is likely influenced by institutional transactions, and it shows potential for further growth despite being an early-stage IPO with limited data.

Why is SRPT's stock down significantly today?

SRPT is down 24% due to a patient death linked to its gene therapy. The stock has also been struggling over the past year, reflecting negative results, and there is notable short interest in the stock.

What is the news surrounding Lucid's stock?

Lucid saw a huge spike in volume due to a partnership with Uber for autonomous vehicles and the announcement of a reverse stock split. While the partnership is seen positively, the reverse stock split has caused some fear and resistance in the market.

What short interest is seen in Lucid's stock, and how is it affecting the price movement?

Lucid has a high short interest, with 31.68% of the free float being shorted. This has led to increased volatility and resistance levels in its stock price. Traders are watching key levels like $3.22 as a pivot point and $2.89 as a support level.

How does short interest impact stock trading strategies?

High short interest, as seen with stocks like SoFi, SRPT, and Lucid, can lead to higher volatility and potential price squeezes. Traders often monitor short interest to gauge market sentiment and plan entry or exit strategies.

What should traders focus on when considering new IPOs like L AWR and KMRK?

Traders should be cautious when dealing with IPOs like L AWR and KMRK, as there is limited data available and the price movements can be erratic. Focus on key price levels, institutional activity, and volume trends while performing due diligence.