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

 ## MARKET MOOD: RISK-OFF Overnight sentiment showed a risk-off approach as U.S. stock futures declined amid rising concerns over inflation and corporate earnings misses. Investors are particularly wary ahead of today's inflation data release, which may influence Federal Reserve policy. ## TOP 5 HEADLINES 1. DraftKings Tanks On Q4 Results; Cathie Wood Unloads More Shares → Impact: **$DKNG** shares plummeted due to disappointing earnings, adding pressure as major investor Cathie Wood reduces her stake. 2. US Core CPI Rises in January on Firmer Services Costs → Impact: Rising inflation signals potential challenges for the Fed, which could lead to sustained interest rate hikes. 3. Mueller Industries Reports Strong Full-Year Results Overshadowed By Q4 Margin Pressure → Impact: **$MLI** faces headwinds despite solid yearly performance, raising concerns about future profitability. 4. Pinterest Shares Tumble as Tariffs Dent Fourth-Quarter Results → Impact: **$PINS** stock drops sharply as tariffs impact earnings, raising questions about its growth trajectory. 5. Rivian Surges On Upgrades As Attention Turns To Its New Tesla Model Y Competitor → Impact: **$RIVN** gains favor as analysts boost ratings amid excitement for its upcoming vehicle launch. ## PRE-MARKET MOVERS ### Longs (Bullish Catalysts) **$RIVN** - Analyst upgrades and excitement over new model **$APD** - Positive earnings expectations from strong demand **$MLI** - Despite Q4 pressure, solid full-year results attract buyers **$EQT** - Rising natural gas prices enhance outlook ### Shorts (Bearish Catalysts) **$DKNG** - Disappointing Q4 results lead to significant sell-off **$PINS** - Declining forecasts amid tariff impacts weigh on stock **$COST** - Mixed quarterly results prompt cautious outlook **$WEN** - Sales continue to decline, pushing shares lower ## INDEX BIAS **SPY:** BEARISH - Sentiment shifts lower as inflation fears loom. **QQQ:** BEARISH - Tech sector struggles amid AI disruption concerns. **IWM:** BEARISH - Small caps under pressure from rising costs and earnings misses. ## SECTORS **Favor:** Energy - Strong demand and rising prices boost outlook. **Avoid:** Consumer Discretionary - Tariff impacts and inflation fears create headwinds. ## CATALYST WATCH Events today that could move markets: - 8:30 AM ET: U.S. CPI Data Release - 10:00 AM ET: Consumer Sentiment Index ## BOTTOM LINE **Today's Play:** DEFENSIVE With inflation fears mounting and several key earnings disappointments, a defensive approach is advisable. Focus on sectors like energy that may provide stability against broader market volatility. The biggest risk lies in potential surprises from today's inflation data, which could further shake investor confidence.