Day Trade Cheat Sheet - July 12, 2026 (Morning)

 ## MARKET MOOD: MIXED Overnight markets showed cautious optimism amid easing tensions in the Strait of Hormuz after US strikes on Iranian targets. However, geopolitical risks and AI sector volatility are keeping traders selective ahead of key earnings and economic data this week. ## TOP 5 HEADLINES 1. US forces ready to ensure navigation in Strait of Hormuz → Impact: Reduces immediate geopolitical risk, supporting energy and broader markets. 2. Funds fret over $4.4 trillion AI trio’s grip on emerging markets → Impact: Raises concerns about concentrated AI exposure, pressuring some tech stocks. 3. Warren Buffett is piling up cash as the stock market wobbles → Impact: Signals caution from a major investor, suggesting selective risk-taking. 4. Nvidia stock price rising with rare falling wedge pattern → Impact: Technical setup points to potential upside in key AI chip stock. 5. SK Hynix stock soared after US IPO but retreat likely → Impact: Highlights volatility in semiconductor IPOs, caution advised. ## PRE-MARKET MOVERS ### Longs (Bullish Catalysts) **$NVDA** - Technical rebound with falling wedge pattern signaling more upside **$HOOD** - Formed golden cross, key chain metrics improving **$AAPL** - $30B multiyear Broadcom deal boosts custom silicon and connectivity outlook **$C** - Analyst Josh Brown bullish ahead of earnings **$SPCX** - Strong Q2 results, maintaining buy rating ### Shorts (Bearish Catalysts) **$SKHYV** - Post-IPO surge likely to retreat, caution on valuation **$META** - Shares fell 5% after AI strategy update disappoints **$TeraWulf** - Sell rating despite large Anthropic lease **$RIVN** - Data not available but remains under pressure in EV sector **$BOX** - Data not available, but sector rotation away from cloud storage continues ## INDEX BIAS **SPY:** NEUTRAL - Geopolitical easing balanced by AI sector concerns and mixed earnings outlook. **QQQ:** BULLISH - Tech rebound led by Nvidia and Apple’s strategic deals supports growth names. **IWM:** BEARISH - Small caps remain under pressure amid rotation to defensive and mega-cap stocks. ## SECTORS **Favor:** Technology - AI chip stocks like **$NVDA** and semiconductor partners show technical and fundamental strength. **Avoid:** Energy - Despite easing Hormuz tensions, oil volatility and geopolitical uncertainty persist. ## CATALYST WATCH - 08:30 AM ET: US CPI data release – key inflation gauge could sway market direction. - 09:00 AM ET: Citigroup earnings – analyst optimism may influence financial sector sentiment. - 04:00 PM ET: Nvidia earnings preview – watch for guidance amid AI demand trends. ## BOTTOM LINE **Today's Play:** Selective Markets face a tug-of-war between easing geopolitical risks and concentrated AI sector worries. Tech, especially AI chip stocks like **$NVDA**, offers the best upside potential, supported by strong technicals and strategic partnerships like Apple’s Broadcom deal. However, caution is warranted in small caps and volatile IPOs such as **$SKHYV**. Watch CPI and bank earnings for directional cues. Traders should be selective, focusing on high-conviction tech longs while managing risk in more speculative or geopolitically sensitive areas.