ZenTrader – Daily Market Recap + Tomorrow’s Edge

📊 Market Recap:

• SPX (S&P 500): Dropped slightly today and stayed below recent highs. Low trading volume and tight price range = market indecision.

• QQQ (tech stocks): Ended the day flat. Some signs that traders are shifting out of big tech names for now.

• IWM (small caps): Dropped more than the others. This usually means traders are getting cautious and avoiding riskier stocks.

📰 News That Moved the Market:

• Interest rates moved up as the Fed hinted they’re not rushing to cut rates. That made some investors nervous.

• Bitcoin dropped after failing to break a key price level. A popular Bitcoin ETF (BITO) also saw selling pressure.

🗓️ What’s Coming Tomorrow:

• 9:00 AM ET – U.S. home price data

• 10:00 AM ET – Consumer confidence report (tells us how optimistic people feel about the economy)

• Treasury will sell short-term bonds

• Several Fed officials will speak during the day

• Big companies reporting earnings:

  • Morning: Pinduoduo (PDD), AutoZone (AZO), Bank of Nova Scotia (BNS), Bank of Montreal (BMO), Dick’s Sporting Goods (DKS)

  • After hours: Heico (HEI), Okta (OKTA), UiPath (PATH), Box (BOX), American Eagle (AEO)

💡 One Thing to Know:

When the market trades in a tight range with low volume (like SPX today), it often means a big move is coming soon. Be ready for a break up or down — that’s when momentum traders jump in.

📈 Options Insight (Not Financial Advice):

Based on today’s broad market charts, it may be worth watching long call setups for early entry if we see a breakout above SPX resistance on strong volume. However, if markets open weak and fail to reclaim key levels by mid-morning, short call positions could become favorable.

This is not a trade recommendation — it’s simply a read on the current market direction and how some traders might think about risk.

👀 What to Watch Tomorrow:

If small-cap stocks keep underperforming and fear (VIX) doesn’t rise, it could mean more sideways or confusing market action. But if small caps suddenly catch strength, we might see a clear move.

📌 Simple Seasonal Tip:

We’re entering the Super Six — the last 3 trading days of May and the first 3 of June.

This is a time when big investors often put new money into the market. That can cause prices to rise — not always, but often. If the market starts to move up, this pattern could be why.

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🚀 Tools We Use:

• TradingView – We use this tool to look at charts, trends, and price patterns in real-time.