Day Trade Cheat Sheet - July 13, 2026 (Morning)

 ## MARKET MOOD: RISK-OFF Overnight markets turned cautious as renewed US-Iran tensions escalated with fresh strikes and disputes over the Strait of Hormuz, pushing oil prices higher and tech stocks lower. Traders are digesting geopolitical risks alongside mixed analyst upgrades and earnings previews, leading to a defensive tone ahead of key economic data. ## TOP 5 HEADLINES 1. US and Iran Trade Fresh Strikes, Dispute Whether Hormuz Is Open → Impact: Heightened geopolitical risk is lifting oil prices and pressuring risk assets. 2. SK Hynix Shares Slide After Nasdaq Debut → Impact: Chip sector weakness drags tech stocks amid AI trade scrutiny. 3. Meta Scales Up Louisiana Mega AI Data Center To $50 Billion → Impact: Reinforces AI infrastructure investment theme, supporting select tech names. 4. JPMorgan Upgrades American Express to Overweight, Raises PT to $400 → Impact: Bullish catalyst for financials, especially premium consumer plays. 5. Eli Lilly Presents New Kisunla Data at AAIC, Guggenheim Maintains Buy → Impact: Positive biotech sentiment with analyst support. ## PRE-MARKET MOVERS ### Longs (Bullish Catalysts) **$LLY** - New Kisunla data presentation and Guggenheim buy rating support biotech strength. **$AXP** - JPMorgan upgrade and raised price target highlight financial sector upside. **$KEYS** - Analyst upgrades point to strong AI investment growth prospects. **$META** - $50B AI data center expansion underpins long-term growth. **$DECK** - Upgraded on strong cash position and brand momentum vs Nike. ### Shorts (Bearish Catalysts) **$SKHYNIX** - Shares plunge post-Nasdaq debut amid AI trade selloff. **$PRCH** - Downgraded, dragging down pre-market sentiment. **$TWLO** - AI growth strong but valuation deemed too high by analysts. **$WDC** - Declining with chip sector weakness. **$FIZZ** - Shares falling amid broader tech selloff. ## INDEX BIAS **SPY:** BEARISH - Geopolitical tensions and oil price surge weigh on broad market sentiment. **QQQ:** BEARISH - Tech sector dragged down by chip selloff and AI valuation concerns. **IWM:** NEUTRAL - Small caps mixed as risk-off mood offsets some domestic growth optimism. ## SECTORS **Favor:** Financials - Supported by upgrades on **$AXP** and solid earnings outlooks. **Avoid:** Technology - Chip weakness and AI valuation fears create headwinds. ## CATALYST WATCH - 08:30 ET: US Core CPI data due, key for Fed rate outlook. - 10:00 ET: Wells Fargo Q2 earnings release, market watching financials closely. - 16:00 ET: TSMC earnings preview, critical for semiconductor sector direction. ## BOTTOM LINE **Today's Play:** Selective Geopolitical flare-ups in the Middle East are driving a risk-off mood, lifting oil and pressuring tech, especially chip stocks like **$SKHYNIX**. However, pockets of strength in financials (**$AXP**) and biotech (**$LLY**) offer selective opportunities. Traders should be cautious on tech valuations but watch for earnings catalysts and inflation data that could shift sentiment. The biggest risk remains escalating conflict impacting global markets and energy prices.