Morning Notes - 7/28/2022 | Archimedes Methodologies

Good Morning:

Welcome to the 2022 Recession.
It’s official – GDP checked in negative this morning for the second calendar quarter and the second quarter in a row.
Maybe the question now is whether it will morph into a depression.
In my 35 years as an investment professional, I have never seen such an incompetent (and perhaps purposeful) destruction of one of the best economies our nation has ever experienced.
And the Recession will not cure the inflation at hand, which Deglobalization drives.
I covered everything in the live show this morning, and the video is above.
We picked up a 50% position in September SPY ATM calls yesterday when the S&P Futures crossed up and through the neckline of a reversal pattern at 3970 on the hourly chart. Our target is 4070 (“X” marks the spot).
As usual, we have moved the stop up with the price. Our stop is now 4000.75.
We will be in the Trading Room today for subscribers.
As pointed out in this morning’s video, I have no opinion beyond the 4070 target, and the market may not make it that far.
Amazon and Apple report after the bell – and the PCE reports tomorrow. So it will not be dull.
And while this may be the most hated rally in recent memory, it is nonetheless a rally and may surprise everyone.

As always, stay tuned…

A.F. Thornton

Morning Notes – 7/28/2022