Market Clubhouse Morning Memo - January 2nd, 2024 (Trade Strategy For SPY, QQQ, AAPL, MSFT, TSLA, GOOGL, META, And NVDA)

Good Morning Traders! In today's Market Clubhouse Morning Memo, we will discuss SPY, QQQ, AAPL, MSFT, TSLA, GOOGL, META, and NVDA.

Our proprietary formula, exclusive to Market Clubhouse, dictates these price levels. This dynamic equation takes into account price, volume, and options flow. These levels are updated every day and shared with all Clubhouse Members, prior to the opening of the market.

We recommend closely monitoring these stocks, and be prepared to leverage potential breakouts or reversals. As always, stay alert and ready to adjust your tactics based on the market's pulse to optimize your trading gains. Now, let's dive into the stock analysis:

SPDR S&P 500 ETF Trust

The SPY SPY is currently trading around our level of 474.04. For the bulls, an initial rise to 475.02 is sought, with hopes of maintaining strong price action above this level to eventually reach 476.10 and, if successful during regular trading hours, extend upwards to 477.25. The ambitious target for the day is set at 478.16.

Conversely, if 474.04 does not hold as a support, bears might push the price down to test the 473.40 level. If sellers dominate, we anticipate further tests at 472.68, with heavy selling potentially leading to a strong support at 471.40. The lowest bear target for the day is 470.63, indicative of a significant sell-side session.

Invesco QQQ Trust Series 1

The Q's QQQ are currently positioned around 406.58. Bulls are looking for upward movement above 407.64, aiming to establish 408.80 as strong support. If buying continues robustly, 409.44 may come into play, with an ideal scenario leading to a test of 410.34. The highest bull target today is 410.90.

If holding above 406.58 becomes problematic during regular trading hours, we anticipate bears to aggressively push the price down to 405.66. In case of continued weakness, bears might target 404.76 and further look to challenge 403.59. The day's lowest bear target is 403.08, anticipated if the level fails to hold as strong support.

Apple Inc.

Apple's AAPL auction is revolving around 189.44. Bulls are encouraged by holding this level as support, with aspirations to advance the auction higher to 190.52 and maintain the momentum to potentially reach 191.57. The day's ambitious bull target for Apple is 192.27.

Should 189.44 not sustain as support during regular trading, a lower test at 188.56 is expected. With continued selling, the bearish trajectory might lead to 188.20 and further pressure could bring 187.50 into the equation. The day's low bear target for Apple is 186.99.

Microsoft Corp.

Microsoft MSFT is currently hovering around 373.48. Bulls seek to solidify this level and drive the auction upward to 375.11, ideally holding it as support during the day and continuing the push to 375.93. The day's high target for Microsoft is 376.70.

If 373.48 fails as a support during regular trading, bears are likely to test 372.03 and potentially push further down to 370.10. On continued bearish momentum, the price could descend further to 368.79. The lowest bear target for the day is set at 366.98.

Tesla Inc.

Tesla TSLA is currently auctioning around 246.16. Bulls are eyeing an upward push to 248.37, followed by a rally to the key level of 250.25. In a strong bullish market, Tesla might test even higher at 252.38. The highest bull target for the day is 254.28.

If 246.16 cannot be maintained as a robust level of support in today's session, bears may look to drive the price down to 243.98. If the selling continues, 242.49 may be tested, leading to a potential significant drop to the day's low bear target for Tesla at 239.92.

Alphabet Inc Class A

Alphabet GOOGL is currently situated around 138.39. Bulls are hopeful to maintain this as a supportive base and push the auction higher to 139.46, ultimately aiming for the high bull target of 140.05.

Should 138.39 fail to hold as a supportive level during regular trading hours, bears may lead the price to 137.79. If this level is compromised, the price might be further driven down initially to 136.94. In a scenario of heavy selling, the lowest bear target for the day is set at 136.29.

Meta Platforms Inc

Meta META is auctioning near 350.18. Bulls aim for the auction to stay robust above this level, moving higher to 351.97 and potentially to 353.60. The day's high bull target for Meta is 354.93.

If 350.18 cannot hold as support during regular trading hours, bears might initiate a move down to 347.67. Continued selling pressure could lead to further declines to 345.04. In a pronounced bearish scenario, the lowest target for the day is 342.89.

NVIDIA Corporation

NVIDIA NVDA is currently trading around 489.04. Bulls are looking to elevate the auction to 492.33 and secure it as a strong support level, with hopes of pushing the price further up to 495.79. The bullish momentum might extend up to the high target for the day at 499.62.

If 489.04 does not hold as a strong support in today's session, bears might target 485.93 for a test lower. A breakdown of this level could lead to a drop to 483.43. In a weaker auction scenario, bears may test down to 481.27, with the lowest bear target for the day at 478.67.

Final Word:  Happy New Year and welcome to the first trading day of 2024! Today's data releases are light, featuring the Final Manufacturing PMI for December and the Construction Spending data for November. The Treasury will auction 3 and 6 Month Bills in the afternoon session. Be mindful of the trading volume as the participation might be low due to the holiday season. Wishing everyone good luck and a strong start to 2024!

The Morning Memo is curated by RIPS, a pro trader with years of experience in equities, options, and futures trading. RIPS is at the heart of the exclusive Market Clubhouse community, offering his insights, expertise, and real-time mentorship.

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This article is from an external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.