Expect the usual suspects to attract the most trading volume today. Nvidia (NVDA) will top the most actively traded stock by volume, as investors bet that the bearish double top at $130 – $135 from mid-June through July is an inaccurate chart signal.
Speculators will bet on electric vehicle giant Tesla (TSLA) today. The stock attracted buyers at $220, setting up an open at $232.10 this morning. The firm needs to offer more than promising to launch robo-taxies or investing in xAI. It needs unit sales in its core EV business to rise and profitability to expand. Otherwise, the stock will not see over $260 in 2024.
Sellers are likely to continue dumping shares of Ford Motor (F). The stock hovered dangerously below $11.00. Other than a $0.68 a share dividend (for a 6.17% yield), Ford is not an attractive investment. Speculators may buy F stock to collect the dividend and then sell the stock before it falls below $10 – $10.50.
Chip investors who do not want to bet on Nvidia, Broadcom (AVGO), AMD, or Marvell (MRVL) may buy ETFs instead. The 3x Bear ETF (SOXS) is a hedge against a falling chip sector. Conversely, the 3X Bull ETF (SOXL) is a leveraged bet for a bullish chip sector.
