Tesla’s hot streak, bitcoin slumps for longer: Top takeaways

Tesla (TSLA) continued its hot streak and closed higher for its 10th trading day in a row. Meanwhile, bitcoin (BTC-USD) continues to trade below a $60,000 benchmark, taking a little longer to recover than previous down periods. Should investors hold stocks overnight and trade in the morning? Data surrounding the S&P 500 (^GSPC) reveals it can cause a greater return than some trading in the day.

Yahoo Finance reporter Jared Blikre joins Asking for a Trend to break down the latest market trends and takeaways for the July 9 session

For more expert insight and the latest market action, click here to watch this full episode of Asking for a Trend.

This post was written by Nicholas Jacobino

Video Transcript

S and P 500 NASDAQ uh, building on record highs today.

Rate cut hopes remaining intact after Fed Chair Pao kicked off his semi annual update to Congress and Yahoo!

Finance says Jared Brookie joins us now with more on the trading day takeaways.

Jared, that’s right.

Powell might be on the hill, but I want to talk Tesla.

And that is, as Tesla is now notching this 10 day winning streak.

And let me just pull up our mega cap heat map and I’ll do a little charting action.

Uh, that is not it.

But here is Tesla, along with some of the other mega caps in down here at the bottom 3.71% is what it returned today.

And here is the year to date chart.

This is something.

And let me just put some candlesticks on her.

First of all, you can see just barely climbing into the green for the year.

Uh, and this only happened a few days ago, but here is that 10 day streak and this comes off the bottom of that head and should actually top of that head and shoulders, Uh, bottom that we were seeing there and you look at the longer term chart.

It’s finally broken out of this negative trend line and and so very encouraging from a number of short term perspectives.

So it’s on a hot streak.

Where do we go from here?

Jared?

Is it 300 beyond?

You know, 300 is a big level.

Let me just erase that line there and you can see 300 was a resistance line in the past, kind of right there.

Also right there.

So I think it would be a little bit of a stretch for Tesla to get up to 300.

But it could squeeze there.

We’ve seen a defy odds before.

Interestingly, it is now in the midst of a 53 day, uh, 53 day rally.

That’s this point to this point right there.

Remember, this is only five.

This is five years, but that is equal to 85% here, 85% here, 85% here.

Just seems like Tesla has kind of gone that distance.

So if that’s the case, it might just end up pausing right there before it regains, uh, or recharges for the next move, where that is, we’ll be watching.

Story continues

All right, now guess what we’re gonna talk about.

We’re gonna talk about day traders versus night traders and let me explain what that is holding overnight is greater than holding during the day.

This is a chart I like to update from time to time.

And basically it takes the market.

It’s blitzed in a two.

Is it 930 to 4 p.m. That’s in the purple here.

Or is it 4 p.m. to 9.

30 AMI?

Imagine every day at the bell at the closing bell you buy and then you sell in the morning.

That would net you more money.

This would have netted you more money since the October lows last year.

Why?

Jared reasons for this.

I’ll tell you what, if you think about it, the market is only open 6.5 per, uh, 6.5 hours per day.

It is closed the rest of the time 17.5 hours.

So that means it’s closed about 72% of the time.

There’s all kinds of stuff that’s happening all around the world.

What I found over time, this goes back to over 30 years is that you want to be in the direction of the overnight market.

I’ve never seen a bull market where you don’t have the overnight market actually gaining more than the day market.

It’s just because of the time difference.

Let’s say you’re an investor.

You’re watching this, Jared, Is this in any way?

I mean, is it a source of worry for you?

Concern.

You know, it’s not a sell.

It’s never been a source.

It would be a source of concern for me if I didn’t see this.

Let me put it that way.

Because when we were in the 2022 bear market, this picture looked vastly different.

Uh, the overnight market was selling off a lot more than the, uh, day, and that’s kind of, uh, that’s kind of the balance that we see.

It’s a simple, uh, amount of percentage time.

The market overnight.

You got more time.

All right.

Third, Jared B point.

All right, we got to talk crypto here on Bitcoin Bitcoin heading towards up to finally up to 60,000.

Let me just chart what’s going on with Bitcoin right now.

Um, I’m fond of saying that Bitcoin loves to fake out traders, and we’ve seen this time and time again.

Give me two seconds.

Here’s our crypto heat map.

And, uh, that’s crypto stocks.

We want to get the actual token.

Here’s Bitcoin, um, on a year to date chart and let me put the candlesticks here we are seeing that it has just been in this consolidation range now.

It already broke a few months ago.

At the very end of April, beginning of May, it broke down.

Then it quickly recovered.

It’s kind of doing that right now, but you’re noticing it’s taking a little bit more time.

The amount of time that it’s taking is concerning.

So that’s why I say it needs to be up above 60,000.

Otherwise, probably gonna use that as a resistance level.

And then it’s and then it goes down from there.

So it looks like that where it breaks above and looks like that and goes up to test this 75,000.

So that’s Bitcoin it.

What about the other big tokens?

What are they potentially telling me?

Sure.

So we just saw Bitcoin kind of breaking, uh, its multi month range Ethereum doing something some similar.

If we take this line here just below 3000.

We can see we haven’t gone as low as a Bitcoin by taking out these prior levels here, but we are testing them.

So I think this is actually a more constructive chart that we’re looking at here is Ethereum.

And we can also check out Solana.

I do like the Solana chart as well.

You can see this is actually the lower bound here is actually the break even.

Mark.

Mark, Uh, this is also respecting its lower boundary.

So all in all, I give crypto a fair amount of chance to say the bull market is still here, but kind of holding on Bitcoin 60,000 is make or break for me.

All right, Jared.

Thank you, buddy.