The Drive For Five – Stocks Set To Rise On June 10
US Markets
- S&P 500 Futures +9 points
- Oil $53.99
- 10-Year 2.15%
- Dollar Index 96.84
- VIX 16.14
International Markets
- Japan Nikkei +1.2%
- China Shanghai +0.86%
- Hong Kong HSI +2.27%
- South Korea +1.31%
- Germany DAX Flat
- UK FTSE +0.44%
International Trading
Hong Kong HSI
Hong Kong jumped over 2% on June 10, following better than expected China trade data. The index crossed a critical level of resistance at 27,345. It could set up a rebound to 28,160.
US Trading For June 10
The big news today, tariffs with Mexico have been suspended.
United Technologies and Raytheon are merging. They say it is a merger of equals, but yet UTX shareholders will get 57% of the new company, keep the CEO, and have eight board seats. That compares to Raytheon shareholders getting 43% of the company and seven board seats. Doesn’t sound equal to me, so why isn’t Raytheon acquired with a significant premium?
As a Raytheon shareholder, I can’t say I’m thrilled with the terms of the deal. I have owned Raytheon since October 2016, so it may serve an excuse to take my profits and go.
S&P 500 (SPY)
S&P 500 is rising on June 10, with SPY ETF pointing to an increase in the pre-market. If the SPY can manage to rise to $289.25, it sets up a potential move to $291.50.
AMD (AMD)
AMD continues to rally, rising another 2.5% on June 10. If the rally holds, it sets up a rise $34.50.
Microsoft (MSFT)
Microsoft is rising and has is likely to move towards the upper end of its trading range at roughly $134.
Square (SQ)
Square is rising too, and it is facing a steep overhead downtrend around $69.60. We will soon find out if Square is breaking out or breaking down.
Intel (INTC)
Intel is trading above resistance at $46, and now the stock could rise back to roughly $48.
Bank of America (BAC)
Bank of America is approaching a breakout at $28, which could help the bank rise to around $29.50. Just watch the Treasury spreads, wider spreads means Bank stocks go up, narrow spreaders means the stocks go down. That simply for now.
Disclosure: Michael Kramer and the clients of Mott Capital own RTN and MSFT
Disclaimer: This article is my opinion and expresses my views. Those views can change at a moment's notice when the ...
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