Come on. Foreign. foreign. Thank you Oh brother oh brother oh brother.

Welcome back to the Mad Core show where we're here to talk about everything that's going on in the world it is. Tuesday May 30th hey I Hope everyone had a safe and fun Memorial Day Weekend We had a crazy week in the market last week. Some of and you guys made a bunch attendees and then we're able to roll it into a very fun, enjoyable weekend. Some of you have probably heard but maybe some of you haven't so we might as well tell it to you all now.

Um, we can no longer make completely real girlfriend jokes from here on out. Your boy decided to make a big big decision over the weekend and it is now a completely real fiance. Um so I Had a very exciting weekend. It was honestly like a great week.

I Was giddy as a little schoolgirl the entire time. It was a giant scheme. It was a giant surprise, a lot of people on it. It was like high level deception for my entire life.

Last week, after the morning stream was essentially spent scheming and calling and lying and being as deceptive as I potentially could be, it was actually really fun. Uh I'm not a person who really likes lying whatsoever, but once you get a taste of it once you get a taste of that level of success of like pulling off huge lies and they call them surprises but we all know what it is and getting people in on it and you have code names and code words and secret text groups. It's fun! I Think everyone should lie a little bit more because I absolutely loved it. Um, but it all went super well I Mean was able to celebrate with a bunch of my friends.

it was like this big surprise like event on the the Waterfront here in Manhattan Then we went to a fancy schmancy dinner, then we went to a rooftop bar and surprised it again with all of her friends being there and then we basically stayed out until we shut the Talon down and then I woke up the next morning and could not feel my head that was actually in that much pain that I couldn't feel that much like I just couldn't feel it and then she actually had to Rally because then she went to the Taylor Swift concert which is basically like the hottest thing you could possibly do right now in terms of popularity. So uh, it was absolutely quite the weekend. but we're back. We're back, We're back.

We're back! I Appreciate all the congrats, Thank you thank you thank you! obviously um, as there's developments with the completely real fiance situation I'll I'll keep you guys a prize to the whole thing. but I truly appreciate it. Thank you thank you thank you and on that note, let's see if we can get the excitement going. Let's see if we can keep the party going into this shortened trading week.

So yes, the market was completely closed yesterday in observation Memorial Day Once again I Hope you guys enjoyed your barbecuing I hope you enjoyed getting some weather or some sun I got like I used to be extremely pasty white and now I'm like a level above that. So very very exciting to me. Take the filthy money and use on your totally real wedding. Congrats my dude Zero man, what a guy! I appreciate that.

that's so kind of you. Um, but hopefully we can make even more of that. Hopefully we can make enough good trades here that I can just pay for the wedding that way. Basically with all of Nvidia last week was able to pay for the whole surprise.

So like let's see if we could keep this party going I do have some interesting things I want to bring up? So yes, we're going to talk about everything you currently need to know about the debts. I Dropped my pen again. did that pen I swear it's as if one of you come in here when I'm sleeping and you just butter up my pens. you oil them up, you make them so slick.

These hands cannot keep a hold of this pen whatsoever. and I guess I'm that's just something I'm never going to be able to get over. so that's how this is going. So I guess still the the same old map but anyway.

uh I Want to talk about the overall Market Mainly being driven by the debt ceiling negotiations. There's going to be a rules committee vote today and then the vote in Congress is coming down the pipeline tomorrow, so we'll be paying attention to that. Then we have to talk about. just like some of the stocks that are ripping.

Yes, the overall Market's ripping, but it's mainly because of the continuation and the hype cycle of everything related to. AI If you look at what's going on with Nvidia If you look at what's going on with Marvel if you look at what's going on with C3 they are all rippity skippity doo da. It's a great trait. Would I necessarily invest right now? No.

I Love Nvidia I'm a long-term Bull on Nvidia but I'm not going to be investing when it's trading at a 200 times a 200 multiple to its price to earnings ratio I Love it. It's an active trade. To the upside, it's gonna be an active trade. To the downside, we're talking about short-term movements, couple weeks, couple months in terms of a long-term investment.

I'm a huge fan of video, but I'm not investing right here. I am not investing above 400. When it was just below 300, it's been ripping far too much for me to possibly invest in these levels. and it's literally just an argument of risk reward.

So I love it. I'm a long-term support of it I just simply wouldn't invest at these levels right now. it's going higher and it blows my mind I have a like a little bit of a fade play going on basically I took some of my profit from getting into those YOLO calls right before earnings I was like okay, maybe it's going to come down so I got a couple puts for end of June As of right now, those things are absolutely screaming in pain. It seems as if they're just gonna go bust, but we'll see how it plays out.

Obviously we still have some time I have a whole month for that to play out, but it's just a small portion of the profit. so I just want to let you know that's my only active trade right now I locked in all of the other Nvidia call profits I had some spy stuff going on I had some Tesla stuff going on last week that was all locked in I Let everyone know in locals I locked it in. My only active trade right now is a fade on Nvidia and that fade is not working and I am just dumbfounded. The reason Nvidia is continuing upward and upward and upward is because the CEO and some other members of the company had some pretty big announcements that people got excited about.

Namely, they were talking about a new supercomputer that will be obviously leveraging it Ai and everyone was excited about that. So we're going to be talking about that that came out over the weekend. So really the name of the day the game today is figure out everything we need to know with the debt ceiling, then pay attention to what's happening in AI As an Nvidia Marvel technology, we have C3 AI which is reporting after the market closes tomorrow which I think might be. that's on my radar for really one of my top trades this week.

There's three major top trades I'm paying attention to this week and it relates to the overall: Market C3 Ai and Tesla I'll share all the details on that when the show really gets going today, but those are the three main things I'm watching this week for: potentially short-term active trade, the overall market, and just so you know, my bias on all these is actually bullish. the overall Market C3 Ai and then Tesla Tesla The big news: there is not only Big Technical breakout and hold above 200, but Elon for the first time in three years is in China he's visiting China allegedly meeting with the Ministry of the foreign Ministry Uh, most likely going to be going around the Shanghai plant, but anyway, people are really obviously interpreting this to be some optimism. But on top of it, there's a nice technical break breakout so I'll be showing that to you. and we could talk about the risk reward, maybe a couple of different ideas of how to set that particular trade up.

Of course, we'll get into seasonality later this week, particularly Friday It's one of the most bullish individual days of the year, so I'll be sharing that all that information with you and then obviously we're going to be going over the other things you need to know, such as the consumer sentiment report coming out today, such as the four Fed member speaking this week, such as the unemployment report coming out this Friday There's a lot, A lot A lot going on. So with all that being said, shout out to Street Pete who is sponsoring today's stream a little bit more on them in a second. But when you sign up, don't forget to use the code Matt M-a-t-t There's now a new deal and they kind of restructured some things so if you have Street right now I Highly recommend downloading the new app because they just came out with a bunch of updates, a bunch of new, cool new things, and they simplified the pricing mechanism and all that. So anyway, if you want to use AI Trading Download Street and also make sure you're entering the code Mac Because you'll get one month for completely free of like all their system and connection to it to see if it's appropriate for you so you don't have to risk anything.

It is free to download and with the code mat you can get one month free to see if it's appropriate for You Highly, highly, highly recommend it. But I'll give you all the information on that in just a little bit. So with all that being said, I'm happy you guys are back! I'm I Had a great weekend I Know it was a little bit of a longer weekend, we didn't get to spend as much time with each other. but I'm happy we're back here.

I Hope you had a phenomenal weekend and hope you're getting ready for an absolutely extraordinary week. Ahead of all of us. Did my thing just fall. Oh golly, that could have been bad that could have.

that could have been actually catastrophic right there. That could have been extremely extremely bad. So good thing we avoided that one. We avoided catastrophe so you already know it's going to be a good day.

You already know we were able to take care of that problem. No issues. and now here we are. So destroy the like button.

Don't forget to subscribe. check out what's going on with Street B Pinned to the top of chat in the description of the video and with all that being said, let's get a little rocking today. So for the market on Friday Spy push and push and pushed and then now we're up even higher. Same thing with Nvidia Same thing with these three AI same thing with Tesla Everything is in at least the short term rippity skippity Doo Dot And it's all because of optimism surrounding what's going on with the debt ceiling negotiations.

and over the weekend it sounds as if McCarthy the Speaker of the house and then also the President Joe Biden came to some sort of agreement. The rules committee will be voting later on today and then Congress will be voting on it allegedly as soon as tomorrow. So a lot of optimism that we're not going to default. and also this is something that I threw out to all of you was hang on.

Even if we pass it, it might end up having a bearish reaction depending on how large the spending cuts are. obviously just less money going into the economy. Well, as of now, what is being pitched is a very small spending. Got only 50 billion dollars I Know you might be like Matt you just said 50 billion being small.

Hey, remember right after Nvidia had their earnings Nvidia gapped up and it added 200 billion to its market cap in one day. So when you're telling me that the government's only cutting, they're spending by 50 billion and they spend trillions of dollars a year. That's a very, very small percentage. So my one major worry was the spending cuts because I thought the Republicans had quite a bit more leverage within the negotiations.

I Thought that their spending cuts we're going to be more severe. They weren't, as at least as of now the information that we publicly have, they're not that severe. So it to me it makes more sense that okay, we're taking out of the risk of a default. Essentially, we're close to it.

optimism that we're not going to default. and then if you look at the actual numbers behind it, well, yeah, the spending cuts aren't that great. Now it does have an interesting I guess tail risk to it. Well, if they're not cutting, they're spending that much that doesn't really help with their battle against inflation.

And now we're looking at a in two weeks when we have the next Fomc meeting with the Federal Open Market Committee and they talk about the FED fund right pretty much now I See no reason where like how can they not raise rates again I Don't think we're pausing. we're definitely not cutting. I Think that this whole debacle is actually forcing the FED to do another interest rate hike come mid-june but once again, that is two weeks out so we could talk about that a bit more later. But that's maybe some of the major things you missed over the weekend as you were enjoying some nice nice barbecue.

But let's really get into it. s p Futures rise as lawmakers reach tenanted debt ceiling deal Nvidia nears 1 trillion market cap. As long as Nvidia stays over 404.86 it will be worth a trillion dollars. I Believe there's six in the US market and maybe nine companies in the world that have ever crossed this.

So uh, it is definitely an exclusive Club Home price declines may be over. Yeah, mortgage rates are once again over seven percent. Treasury yields stumble as investors anticipate debt ceiling deal vote, so yield going down, bonds going up. But this is going to be a momentary movement because don't forget to pay attention what's going on with the dollar which has been actually kind of strong lately and we're seeing Metals come down.

But then on the flip side of that if you fast forward a little bit, uh, pay attention to what's going on with interest rates and inflation and the Fed's battle against inflation. A little bit of international news just because I thought it was cool to share with you Wall Street sees further upside for Japan stocks after they Notch a fresh three decade high. So in the U.S it's always pitched of hey, whatever you can with your disposable income, put some of it into the market and invest. Invest, invest.

And the stats that you might have heard is there is no 15-year period. You could pick any single day and if you fast forward 15 years, there's been no individual day. You could pick at the start that the market is lower. 15 years out, you could pick any single day in U.S stock market history.

and if you fast forward out 15 years, the Market's always higher. That statement is obviously true here, not in Japan Japan Actually is still trying to get back up to its peak in 1989, so it's making quite the rally now ever since 2011 2012. But I Just want to share with you that the way our Market has moved, uh, very different than some of of the international markets. But anyway, to all my Japanese viewers, congratulations to you if you've been investing over the decade because it's actually been a pretty nice windfall.

So the things to pay attention to this week and also specifically today. So what I want you to know are a couple things. First of all: today: Tuesday 10 A.m Consumer Confidence: The expectation is 99 and that will be coming a half hour after the Market opens. So at 10 A.M ET you're looking for the consumer confidence number.

The expectation is 99. Pay attention to it because there's going to be a little bit of volatility in the market prompted because of that. Throughout the week, we're going to have four different Fed members speaking. so obviously we have to pay attention to that.

On Wednesday we're going to get the Jolts job data on Thursday we're going to get the ISM Manufacturing and then on Friday it's the first Friday of the month. So of course we're going to get the unemployment report. What's going on with the jobs? Like all that? So Friday of this week is going to be a big one. We'll probably have to start that stream a little bit early.

But remember, not only are we going to have some other obscure things such as those four Fed members that are speaking on top of anything related to the debt sailing talks, we got to be paying attention to those are the major things for this week individually. Now, if you want to look a little bit closer, term the mate. We're kind of done with earnings season. This earnings season, all the mega caps have already reported, but there still might be some interesting opportunity for us, such as right here: C3 AI Yeah, I'm going to be paying attention to crowdstrike I get I should be paying attention to Salesforce They're all good.

But the thing I'm really, really interested is right here. C3 AI Another clear AI play. And unless you've been living under a rock recently, you know all these AI companies have been dramatically destroying their earnings expectations. so this comes out after the market closes tomorrow.

Wednesday And yeah, I'm not the biggest earnings player, but I do believe I'm going to be buying some YOLO calls just in case. this one goes the way of Nvidia goes the way of Marvel goes the way of the overall NASDAQ right now and ends up beating by a great great number. So I'm gonna keep it small. Obviously you have to pay attention to your risk and when you're doing a lot of play, you should mentally be prepared to lose all of that money.

But in case it ends up hitting, why not? But anyway, after the market closes tomorrow c3ai, That's when a play that I just want to put out there. It's a binary play. either it's going to hit or it's not going to hit. but I Just want to let you guys all know that I'm very interested in that.

Now, with respect to today, the Dow basically break even the S P 500 futures is up. the NASDAQ futures is definitely up, oil coming down a little bit. We'll be going over that and then yields coming down just ever so slightly. In terms of seasonality.

For today, it is slightly favoring the Bulls Um, over it's basically 50 50 slight favor. Here's the equity curve of taking this individual day getting in that open selling at clothes on the S P 500 futures Market Over the past 25 years, slightly favoring the Bulls. What's interesting is actually what we have going on throughout the week. So today slightly favoring the Bulls tomorrow, favoring the Bears Thursday slightly favoring the Bulls.

But what's interesting is Friday Friday Friday Friday Friday Strongly, strongly, strongly favors the Bulls. So I'll give you all the details of that when the time gets a little bit closer. But just for the four days of the week, it goes slightly bullish, then kind of bearish, and slightly bullish. then very bullish.

That's the seasonality ordering of this week. Particularly so the one that I really want to call out is this: Friday strongly, strongly, strongly favors the Bulls All right big news: Debt limit deal faces final tests in Congress to avert U.S default house vote expected Wednesday on legislation to avert default Time consuming Senate Procedures risk pushing us to Brink The really interesting thing arguably is actually today there is a rules committee meeting that that is the thing that could end up really. uh, I suppose throwing a wrench into the situation. So I just want you to know over the weekend Kevin McCarthy the speaker of the house.

and then President Joe Biden they met. They finally agreed, and now we just have to get it through Congress And basically Biden needs to get all his people in order to get a pass in time McCarthy needs to get all of his people in order to get a pass in time. And just I do want to call out the Senate procedures. It's a timely thing.

It's definitely a timely thing, so that might be messing it up for all this. but we'll see obviously the risk being taken out because of that because it does seem as if it's going to get past that's pushing the market up, but then it's being pushed even more by what's going on in AI Now Is it becoming bubbleesque? Without a doubt Right now, Nvidia is trading at 200 times the price of earnings ratio. Obviously, it's fundamentally insanely overvalued, but the major thing we might have learned from the GameStop AMC era is things can trade above their fundamental value. Their stock prices can trade above their fundamental value for quite a while, because clearly value equals fundamental.

Value Plus Some other things, and right now, there's a huge hype cycle behind AI which is massively benefiting. You have Nvidia Honestly, even a little bit of Tesla you have Microsoft Obviously because of Open AI you have Marvel You have a C3 AI There's a lot going on here, so do I believe that AI is here to stay? Yes. I Also believe that currently it's a little bit of a bubble, but it's borderline impossible to predict when bubbles pop. For example, going into an Nvidia's earnings when it was trading at 300 You could argue it was vastly overvalued and yet we're now up an additional 30-ish percent 35 percent.

So when you're trying to call the demise of a bubble the popping of a bubble, you have to be very, very careful because if you are not timing it perfectly, you can just get absolutely steamroll. It's not a bubble yet Warren Jeremy Siegel predicts big Tech boom fueled by AI An explosion in AI demand has seen investors piling into AI stocks and Spark concerns of a bubble. it's not a bubble yet. according to Siegel a very respected guy, shares of Nvidia rallied 24 on Thursday after the firm posted better than expected top and bottom line in recent quarter.

More importantly, because they increase their future guidance for Q2 instead of being at 7 million, they say we're going to get 11 billion. That's what the CEO is saying in the last earnings call and then over the weekend they like basically had some really promising posts about like some AI super computer and like everyone's getting excited about that. So in terms of fundamentals clearly it's overvalued. but I just want I Cannot stress enough that one of the biggest lessons from the whole retail training craze with GameStop which led to AMC is the fact that we don't really live in a world right now where fundamental value is always stock price.

It's just that's not how it works. Sometimes you really look have to like I Believe Strongly consider societal momentum hype momentum right now. Nvidia Yeah, there are some people who are getting shorts who are getting blown out, but understand the short interest is very, very small. The dollar value that those small amount of shorts have lost is extraordinary.

It's like eight nine, ten billion dollars. It's a lot of money, but it's not a highly shorted stock. it's the utilization is very low, the cost of borrow is very low. This is a Momentum Fomo play and you could argue there maybe is a little bit of a gamma squeeze going on.

that's completely fair, but to call it a short skit, it's just simply not short. People are not shorting Nvidia And if they do it, they're doing it like it very, very small because the thing is an absolute monster. An absolute monster. You can't make this up.

Spending cuts in the debt ceiling deal 50 billion Nvidia Market cap in one day gang is 200 billion Nvidia added four times the market cap. Then the amount of spending cuts in the deal in just one day spending cuts of 50 billion are just point two percent 0.2 percent of GDP This system is broken I Think we all agree Nvidia is on track to hit one trillion market cap when the Market opens. Once again, it needs to be 404.86 That is the line for NVIDIA to be worth one trillion dollars trillion with the T 404.86 Um, and right now, where are we at in pre-market with it? Nvidia is currently at 405. So it looks like if we open the market right now we have about seven minutes to go.

it's going to be opening right at that value. All right, World's most valuable chipmaker Nvidia Unveils more AI products after 184 billion dollar rally. This is what came out over the weekend. and just for all of you I know Nvidia is a Hot Topic So we might as well pay attention here.

Today we're announcing Nvidia Ace Avatar Cloud Engine that is designed for animating to bringing a digital Avatar to life. It has several characteristics, several capabilities: speech recognition, text-to-speech natural language understanding basically a large language model and using the sound that you will be generating with your voice. Animate the face. Fifteen thousand startup companies in the world built on the video today, building on Nvidia Today and forty thousand large companies Enterprises around the world are using accelerated Computing We have now reached the Tipping Point of a new Computing era, so every two years we take giant leaps forward and I'm expecting the next leak to be giant as well.

This is the new computer industry. Software is no longer programmed just by computer. Engineers Software is programmed by computer Engineers Working with AI Supercomputers. These AI supercomputers are a new type of Factory.

In the future, every single major company will also have Ai factories and you will build and produce your company's intelligence. Absolutely wild. Um, unfortunately for Kathy Woody I Just saw her pop-up She got out of a lot of her video right before the huge explosion. Wait, is she going to be talking? Oh, that's too long of an interview.

So Arc which has been been demolished ever since really the start of 2022. They had a chance to make quite a bit of their money back, but they unloaded a lot. Not all, but a lot of their Nvidia positions. So very unfortunate timing there.

but I did want to I saw uh I think it's dextro? Yeah, had a really cool in the video photo. Where is it? Where is it? Where is it? Where is it? here? Nvidia revealed AI NPCs That can make up their own dialogue. How insane is that? Make NPCs making up their own dialogue wild like the fact that this is happening in our lifetime. Yeah, hey.

Jen How are you? Unfortunately, not so good. How come I'm worried about the crime around here. It's gotten bad lately. My Ramen Shop got caught in the crossfire.

Can I help if you want to do something about this. I Have heard rumors that the powerful crime Lord Kumon Aoki is causing all sorts of Chaos in the city. He may be the root of this violence I'll talk to him. where can I find him I have heard he hangs out in the underground fight clubs on the city's East Side Try there.

Okay I'll go careful guy. So wild. So impressively cool. So anyway, that's a little bit of a taste of what's going on.

So just to clarify in the very very short term: I Think there's a strong argument to be made that Nvidia is fundamentally overvalued. But does that mean the stock price itself is overvalued? Well, it's up to you and how you define value. I Think value equals fundamental Value is an outdated equation I Think value equals fundamental Value Plus Some sort of really as I would say before, community support And right now you have this AI boom going on. So there's a massive support for it.

So I think we just need to revise how we really talk about value. So is NVIDIA fundamentally overvalued? Yes. Would I invest here? No. But do I think it's a phenomenal trade? Yeah, it could continue to explode to the upside and it can fall back and get that massive Gap fill all the way back down to the low 300s I Love Nvidia for the long term I Think it's a game changer I See a lot of upside in the coming years, but what? I invest at these levels right now? No, just because it's a classic risk reward argument I Think there's too much risk looking at the downside.

Gap So I think it's a great active trade I just wouldn't be investing at these levels if that makes sense World's most valuable chip maker. Anyway, added an additional after adding 184. It's up even more now over 1 trillion. It's just absolutely nuts.

Absolutely. Uh, just insane. And here's another breakdown of it: Nvidia Announcements Today Spectrum X Designed to improve the performance of Ethernet based AI Clouds content engine using Nvidia's AI technology to make high quality commercials building an AI super computer to meet soaring AI demand Short sellers are in for another rough week and the largest owners in our Vanguard BlackRock Fidelity the CEO Mark Stevens and then uh, tents tank. whoever this is, they sold 100 000 shares but they still have it like it's not.

Um, you have some just big players so just wanted to quickly share that everyone is a programmer with generative. AI says Nvidia Chief Yeah, now it's more about prompt engineering. If you could come up with good prompt, you could get the code to write code for you. So uh, the even the world of coding is now clearly forever changing it.

it's we're all I think the next massive job is going to be who can be the best prompt Engineers I think that's something that very much needs to be considered Nvidia CEO says those without AI expertise will be left behind I 100 agree with this I wanted to get your thoughts. uh, technology. Right now. we're not just growing in a linear fashion and this is exponential exponential growth.

and I truly believe that AI is here to stay. But on that note, I want to get your thoughts? am I myself getting a little too caught up in this. Um, because even look at Metaverse, look at blockchain. They're here still.

but it was a little bit of a hype cycle. that like, really had a bad end for me. I Just think AI is going to go a different way you could say I I don't know. I've heard some people talk about the transformative nature of the internet like oh, this is like the debut of the internet I actually think it's going to be bigger than that I Truly do I Don't think there's going to be a single industry that is not impacted in one way or another by AI Those are my own thoughts.

but I think we are in a completely completely different world right now, so just wanted to share that with all of you. The casino is open. Best of luck to all. Play responsibly if not have fun.

My major watches of the week are the overall: Market Tesla and AI Those are my major watches of the week. and actually, as we're waiting, you guys know the first 10 15, 20, 30 minutes. we like to just watch the market open. I'm not trying to make any crazy plays right after market open, especially on a long weekend, especially when that long weekend included detailing negotiations and a potential agreement.

I think there's going to be too much volatility, too much chop, too much churn. So right now I'm just going to kind of wait, see how things play out, see how they don't play out? I'm just going to be as patient as I can. So with that in mind, I'm excited about C3 AI just because they are reporting after the market closes tomorrow if there's a lot of strong value volume I mean honestly, if we get this downside Gap fill to 33 I might enter today, but if not, I'd probably entering tomorrow. Once again, my bias on it is bullish because there is a lot of hype between on like AI in general and obviously C3ai has been able to ride this wave.

so I have no position right now. but I am paying attention to him just because we're talking about it. Let's look at Nvidia There's now a double downside gapville type of a situation. You have a gap filled down to 391.70 and you have a gap filled down to 30607.

So here let me make it red. Just so you know that it is a downside. Gap Bill Uh so double Gap fill to the bottom side on Nvidia eventually I do believe it'll get filled. It's more so of a question of when in my book it doesn't have to be today this month this year really at all like it could take considerable time.

but I do want to point out that the moving average is the 10 and the 20 exponential moving average are clearly ripping to the upside. So if you're betting against Nvidia you're betting against the hype bubble and you're also betting against just like the technical momentum I Want you to know that now what I think is interesting is Tesla So as you can see Tesla lower high lower high lower high. Recently starting in late April we got some higher lows but what's interesting is I thought it was going to get rejected here I actually felt very, very strongly about the fact that it would get rejected at 195 and be forced all the way back to. let's just call it like 177 175.

I Didn't think that we were going to get this upside breakout if this can hold. I'm going long on Tesla I'm targeting 207 I'm targeting 211 I'm targeting 217. I am bullish on Tesla if it can hold this breakout I Do want to let you know that there is a little bit of a catalyst involving Elon uh, his jet for the first time in three years he is in China meeting with the foreign Ministry uh, most likely going to be touring the Shanghai Factory People are viewing this to be a pretty like optimistic development. so Tesla I'm putting this on your radar right now.

A technical breakout starting all the way back in February might be leading to 20 plus dollars of upside I would be risking probably Friday's low, probably around around 184 185. so about a little bit better than one to one. but if it can get in hold Above This 217. Obviously it becomes even more interesting then.

so the risk I wish it was a little bit better, but Tesla is 100 on my radar. and then in terms of the overall, Market we actually gapped Above This Remember how we've been watching 221 22 Forever The Gap from August Well, we actually gapped above it. So we gapped down in mid-august and we created The Gap at 221.22 But now today we gapped above it. So now it's actually a downside Gap to 420.77 One of the strangest ways for this Gap to play out, but it's no longer an upside.

Gap We have a downside: Gap And if you're bullish, the next level I'm watching is uh, 423, followed by 425 and some change which is another upside gaffle from once again in mid-august So these are the major levels I am watching on the overall Market I Do want to point out how we have successfully been putting him higher highs, higher lows. The 10 and 20 EMA are pointing to the upside. The momentum is clearly up up in a way. The question here is, can you just get in a good risk reward setup? Obviously the current market, the technicals, The news.

the Catalyst ever this is currently favoring the upside. You could even argue the seasonality is favoring the upside. The end of May is a very bullish time period. but right now it's just can You get in with reasonable risk? You should just because things are pointing up.

and it's bullish. That doesn't just blindly mean that you answer because you have to ask yourself, what is your risk, what is your downside risk? So I mean looking on the daily, your downside risk might be like 420 and that's two and a half dollars. Maybe you're okay with that. Maybe you're not.

Maybe you're a big conservative and you want to risk 409. Which means you have to have a very high upside. Target So it's up to you in your time frames. Recently I've been having much more success with like a multi-day swing type of a setup.

Haven't really been doing too much like intra day trading, really, just straight up day trading. Um, I've been finding this current market. Riding a multi-day push or a multi-day fall down has been like more beneficial to me. So like in my mind, that's what I'm currently targeting.

Once again, my only position on my only active trade on right now is a fade on Nvidia I'm getting blown up in it because I placed it when Nvidia was closer to like the high like maybe around 388. We'll call it 390 but I needed to come down quite a bit and if it's actually just gapping up and ripping and ripping and ripping. so that's my only active trade. Not like you could go long on it, but like once again, what is your risk? it's already come so far up that I I chasing it right now like you have to have some big balls.

But anyway, uh, my major watches of the week are can I get long on spy with good risk reward and then the same argument on Tesla and the same thing on C3 AI Those are the major things actually. I should also be watching Mrvl Marvel technology another AI play. So that gapped up just got its downside Gap Field There's an additional downside Gap though all the way down to 49.73 Then there's another Gap filled below that at 4608. this is another AI semiconductor type of play.

There were some analysts who just came out with upgraded upside Targets on it today. Um, so that's on my radar, but no. ah, no hardcore plans to traded today. but I'm definitely going to be watching it just because there's been a lot A lot A lot of movement in the world of AI A lot of good money making opportunities Target Getting murdered.

Yeah, this one. So that's actually a breakdown. On Target You are coming up to some very, very low levels. Wow.

Target is just getting murked obviously I Wish I could have got in here like the momentum's Evidently to the downside. look at. you have the 10 and the 20 pointing down. It's just vomiting.

the price action, the societal backlash increased volume. You have increased volume. On this breakdown people are getting out of Target It's getting murdered right now and then I was reading some stories about how people were going up with all the like I guess Lgbtq products they could find and they were bringing it there. They made them take off all the tags and stuff and then people were starting to be like oh wait I forgot my wallet and I guess it can't be put back up then or something like that I don't know.

there was some weird story where people are going out of their way like once again to kind of like screw it over. Um, but Target not a good one right now. not a good run. Same with Anheuser-Busch falling from 66 down to 56.

Breaking this support here. it's absolute vomit. Absolute vomit. Ever since it got below 58.

Really? ever since it broke below 63, This thing getting destroyed the way Target is like just getting getting absolutely not. Kohl's uh KSS I thought Kohl's was doing well. Oh, it did do well at first on its earnings, but then sold off and coming all the way back down. Yeah, I would be watching for Kohl's breaking down below 18.50 Maybe at that level.

Huge support at 18.25 The low 18s are massive support for Kohl's Maybe put some alerts on that. if it can't hold 1875 1850 something like that, there might be a vomit down to the low 15s. I mean even with its quote unquote good earnings, it gapped up, sold off, and gave it all back. Literally took two days to get back to this range.

Um, Cole's showing quite a bit of weakness as well. quite a bit of weakness. man. Tesla's already going.

Oh man. like I said I Really like how things are looking right now on. Tesla I Just wanted a better entry opportunity, but I'm I'm sticking to my rules. Um, it's a little too early yeah.

I would have loved to get in at 199. obviously I would have because it's already pushed four dollars since then. Um, but it's just not that we have rules for a reason. Um, so I'm going to be waiting to see if there's any pullback on.

and hey, if I miss it if there's just no pullback and it rips without me, there's so many opportunities in the market if you're feeling that pressured like oh, I have to get into this and I have to get into it right now. That's a sign that it's a trade that you probably shouldn't be messing around with it. Just wait for wait for a good one. it'll come into your life.

You just have to be patient, patient, patient. We have rules. we need some Google went around Tesla is actually excuse me Tesla's ripping and videos ripping uh C3 AIS ripping. but uh, the Spy bouncing off of its intraday low just below 422.

I want to fade Tesla I'd be careful with that one Robert I mean look, didn't look at the daily chart on it Tesla's looking strong. You have a it's rallied since late April but now you had it I would understand what you're saying. If you're doing it right at this line, you're like you know what I think it's getting reject it there but we're opening up above it. Did it technically get its Gap fill What was the high? The high was 198.60 Yeah, we got the Gap Bill The downside: Gap Bill on Tesla by Ascent How crazy is that with gap fills? The high on Friday was 198.60 The low today was 198.59 It overshot it by one cent.

one cent, got the Gap fill and then has now popped almost five dollars off of it. in excess of five dollars off of it. How insane is that? The next Target is 208 after that to 11 after that 217. Uh, Tesla might be going on A little bit of a rippity skippity dude out here.

A little bit of a rippity skippity doo-dah I I'm definitely interested in playing it I'm just trying to be patient and wait for it. Uh, Carvana? Yeah. I See some people calling out Carvana. A little bit of a potential for a short squeeze here.

I Don't like it because it's not a good company. Its numbers aren't good. What's interesting about it is just the fact that its technicals are lining up for potentially breakout which would be putting pressure on the shorts I wouldn't Whatever this does like and I do admit that there's bullish momentum I would just try to be very I Guess conservative with my risk. like if it starts to go in my favor because I get it, it might get squeezed.

This thing can move in a volatile fashion I would try to as quickly as I can use the trailing stop loss or get my risk above where I entered. So if you're getting into this, yeah, it looks like it's about to go. I Mean you have some nice consolidation. Looks like it's about to rip like I totally get it.

It's just like I Don't like the company like it's numbers are bad. Like this concept of just getting in because something might squeeze I Think we've learned that we need a little bit more than that these days. So I do admit it looks nice. it could go.

it could be a squeeze. All I'm saying is if you decide to engage in this play I just ask you use a trailing stop loss or move your stop to your break. Even Price as quickly as humanly possible because when it comes down, it's going to come down aggressively. Look at Carvana.

It pops, it, vomits, it pops, it vomits, it pops, it vomits this thing. It has the price action of a pump and dump. So yeah, you could play the pump. you could play The Dump But don't confuse those two together.

Don't hold through like something selling off when you were supposed to already be out of it. So this is one that yeah. I Truly think you can make some money? I'm just saying be very very specific with your trading plan if that makes sense. Uh Nvidia Ripping AI Ripping Test Everything's ripping without me I Remember the part of the Bible treat others the way you want to be treated unless they're then make them their life out Jesus was the man uh Boogie had me driving around for months with Paper Tags they have a problem with issuing.

does Carvana has a some noteworthy problems like as a company the way it's run, it's not I'm surprised it's still a company. but once again as we're learning from many many things, fundamental value doesn't always equal stock price and right now you're seeing a distortion and honestly it has some nice momentum. It could just keep going. It truly could so take advantage of it.

But don't This concept of like diamond handing is is really a dumb one unless you're a long-term investor. Diamond handing is for long-term Investments That's what Diamond handing is for. But when you're talking about active trades, when your trade has a thesis that might work out in Microbus you know all of a sudden just Diamond hand that that would be a very, very silly way to engage. All right.

Well, while we are getting to almost those first 15 minutes into the day and I'm gonna even try to wait a little bit longer because we are getting a consumer confidence report uh, coming out at 10 A.M today. So I want that report to come out before I decide to do any of my own trades? I Do want to give a shout out to Street Beat who is today's stream sponsor and they actually have, uh, make sure if you've already down if you have the app, update it because there's a lot of new things coming out today. And I do want to let you know about some of the major changes. Um, so basically you're going to get the debut of Street Beats Smart Pilot.

If you download the app, we'll download it. If you don't have it, it's pinned to the top of chat. it's in the description of the video or just search Street beep. But anyway, use the code Matt and I'll tell you why.

but there's a whole new pitch. Whole new developments going on with Street people. So anyway, uh, you're going to be seeing the debut of Smart Pilot. Our Smart Pilot is an Intelligent Investment Companion that leverages state-of-the-art AI technology to dynamically adjust portfolios based on market news.

It enables investors to make informed investment decisions with ease during various Market cycles and conditions. So basically, it's the next layer of AI integration in Street Beat and this is being referred to as Smart Pilot. By analyzing market news using Advanced AI powered algorithms, the Street Beat Smart Pilot identifies opportunities to optimize portfolio composition. It adjusts stock weightings based on positive and negative news before markets opens or closed.

helping you capitalize on real-time market trends. Learn more about the noteworthy capabilities of chat EBT in the Bloomberg article. Uh, I'll put that in the description of the video so you can check it all out. This is from the team itself.

We believe in empowering creators like you, which is why transparency and control are key features of the Street Beat Smart Pilot. You have the ability to opt in or opt out of this feature. We can provide a clear view of the changes made by the AI and reasoning behind each one. So with this, uh, Smart Pilot and all the pre-existing algorithms now they're referred to as your co-pilot And before if you've checked out Street Beep some of you are going to be grandfathered into it, but there is a whole new way that this company is going to work.

before. There was options for three dollars a month, nine dollars a month, and then I think the other was like 50 months or maybe 99. Those were for very large account people. Now just to make it easy, there's one option.

A new pricing schedule is available starting today. It is 12.50 a month. Or you could go ten dollars a month if you pay for the whole year, 120 for the year. But I Do want you to know that now if you're like hang on I've heard you talking about straight feet for a while.

I Know that if you're using their AI setup it like costs some money. If you use the code matte M-a-t-t you will get one month completely free so there is no money at all to test this out. It is free to download and then if you use the code Matt M-a-t-t you can get one month free, use all their AI stuff and then if it's for you, you can decide to engage in it. So once again, it's pinned to the top of chat.

it's in the description of the video Shout out to: Sleepy Download the app and on the very first page when you're signing up, make sure you are using the code matte M-a-t-t and that is exactly how you'll get one month free with all their AI capabilities in the tool Suite which it just launched today I've already been on it this morning and I I think it's so incredibly freaking cool I Really think that AI is going to help retail? Traders Well, among many things I think one of the things that AI is going to be able to do is uh, make AI trade or retail Traders through the use of AI Uh, quite a bit more profitable. So I'm excited to see how that all plays out. Did we just get a downside? Gap Though no close the downside: Gap Fill ADD alert Why is that all right? I Guess all these alerts hang out was just yes. Let's clean up these alerts.

I Don't know why they aren't working. All right. There is a downside: Gap Field to 4 20 77 basically a dollar below where we are right now I Don't know why it doesn't work on the daily anymore, but you guys understand it is 4 20 77. 420 77 here.

I'll mark that out on this intraday chart: 420 77, 420, 77. if only I could draw it properly for 2077 420 There we go. That's the downside Gap though what happened today I have absolutely no clue uh, it's gonna be much more dependent on any of the announcements related to the debt ceiling negotiation slash agreements and also what's going on in the world of AI because Nvidia has ripped from 403 up to 414 today. AI itself C3 AI has gone from 36 up to 40.

you have Tesla going from 199 up to 203. it's just crazy Matt Congratulations on the engagement! Nothing but blessings and positive vibes for you and your squad. Hey I appreciate that Brody That's incredibly kind of you. Palantir Palantir is another one that's ripping right now.

There's clearly a hype cycle going on in the world of anything related to Ai and Palantir is a software company that's going to be in that world crushing it. And then you have some of the Upstream Hardware plays like Nvidia Micron Marvel like, uh, even Tesla to a certain degree. a little bit more of a situation going on with Tesla. but I think like there things are just ripping guys, they're ripping and that's why I said exactly my my watches for this week are spy Tesla and AI um I wish I got in a clearly a couple minutes into the day because I'd already be up a crap load of money.

but I didn't do it because I have the rule of trying to not do anything crazy in the first 15 minutes and hey, if I miss the opportunity I miss the opportunity I'd rather be late to the party and then be forced to not enter the party rather than be early and then have it quickly like blow up in my face. Where do you think Tesla can go? It depends on what time frame my in the short term as in the next couple weeks I'm looking forward to tag like 217 if we can hold the breakout. that would be my breakdown. Line on Tesla is if it doesn't hold the trendline breakout.

but right now there's a little bit of hype behind Tesla just because Elon For those of you who don't know the first time in three years that he is in China meeting with the foreign Ministry most likely visiting the Shanghai plant. uh, the market is obviously interpreting this to be bullish. Positive: yada yada yada yada yada. All right, let's see and I do want you to know that in 10 minutes in 10 minutes, we have the consumer confidence report coming out AI Stocks are doing nothing but ripping in videos at 417 and going not showing any signs of slowing down.

AI C3 I should call it is above 40 Now this is just it's rip city folks. This is. This is what a hype cycle looks like. Is it a bubble? Yeah, but that doesn't mean it has to pop right now.

The the issue with playing the pop of a bubble is the timing it. It's very, very difficult to be like timing it properly, You have to be very very sure. You have to have your risk tolerance as close as humanly possible or you'll just get blown out. I Cannot believe Nvidia Last week it was at 300, it was sub 300 and now we're at 418.

hey Matt it's been a pleasure watching you and your channel grow. Congrats on the engagement! Much appreciated. You guys are so kind. This is why you guys are the best.

Best community on the entire internet. I Would sign you guys up in a fight against any other community and in fact, this is probably a good time for me to tell you that I have done that with none of your permission I Have signed you guys up to be in another internet fight like it's going to be a giant physical altercation and we're gonna meet in some desert probably out west I Hope you guys are free in June because it's just going to be a giant, giant, massive mob fight against various other various other prominent live stream communities. Um, so you guys have a couple weeks to get on. like a trend cycle, a steroid cycle, maybe brush up on your melee combat techniques.

But mid-june we're meeting in a desert. Uh, I'll send the details when they become available, but uh, you guys might want to block off all your weekends. Yes, 10 years of lessons in Jiu Jitsu finally won't go to waste. You guys are ready! I'm betting all of you all my money.

My money for the wedding is gonna I'm basing it on you guys winning so you better win Area 51 Beat up but it's just a fight. Uh Matt Thinking of doing a meet-up in New York anytime soon? It wasn't planned. but if you guys want to do that, if you guys want to meet up at like a Texas Roadhouse a Dave and Buster's Central Park and we could feed the Ducks Um, if there's enough people in the area like New York New Jersey PA Connecticut I Just wanted I Don't know. Do something cool.

Maybe we'll do a round robin bowling tournament. Maybe an ax throwing competition. It would be nice to know in our community who's the best ax thrower. Um, something something? uh Texas Roadhouse caters the wedding dude I would love that.

I would love that. Hey, this is why I Wait on Tesla This is why sometimes you don't have to be pressure to getting it just because something rips out of the gate. Um, this might be a little bit of a hype cycle, especially going into this consumer sentiment report consume. Are we getting this? No, No, that's not the downside Gap though yet the downside Gap those 4 20, 77.

420 Well here we'll set an alert on this. Patience, patience, patience. That's my biggest. My biggest issue with trading is not being a patient Trader and I Feel like the past two to three weeks I've been honing in on that and it's just paid literally tens of thousands of dollars to do so.

Uh, so I'm just trying to remind myself of that every single day. Like like many of you I think I feel that pressure to be like oh, I gotta get in like something's going like do you know how hard it is for me before the Market opens to tell you like, hey, I'm bullish on Tesla and then right here I see that 199 and minutes later it explodes to 204. But then that was the old map That was the map that never had a completely real fiance. Because now this man understands that crap like this.

Like that hype push and then it gets crushed. Um I I Want to be on that the second. the second wave of attacks not on that first one that gets absolutely mowed down. Chat: CBT Can't throw axes? not yet, not yet, not yet.

so just waiting attempting to let's see how long I can keep this discipline up. but I I Really want that consumer sentiment report to come out? It will be coming out at 10 A.M Uh and video CEO says yeah I Think AI will continue to grow. These are the five things that you allegedly should know, but let's not worry about that. You already know what you need to know.

There was some sort of announcement over here: Debt Ceiling Bill Faces a tough path in The House's GOP Opposition grows. Whoa. A little bit of drama drama, drama, drama, Drama drama drama. Debt Ceiling Bill faces a tough path in The House's GOP Opposition grows The Compromise Bill To raise the debt ceiling faces its major test In 13-member House Rules Committee.

This is probably more so of a test than the rest of it. That's after the market closes today. Two of the panels nine Republicans have signaled they will oppose bringing it to the house floor for a vote. So I don't know how many of you remember that cartoon of how like a bill becomes a law.

But even to get through the house or the Senate will first, especially in the house, you have to go through your own little mini committee to get even on the floor. So two of the panels non-republicans have signaled they will oppose bringing it to the house floor for a vote. Congress faces a June 5th deadline to address the debt ceiling or the US government will default. Uh, it's kind of funny how everyone I shouldn't say everyone but people were mocking the Republicans for calling out Yellen for being wrong about the deadline date and she was all like it's going to be June 1st it's going to be June 1st and then people kind of looked into the money coming in, the money going out like well, we don't think it's exactly that and now magically it's no longer June 1st it is now June 5th.

So uh, looks like the drama I mean this is like just watching an episode a fun season of The Bachelor or something because all it is is fully drama-filled I'm seeing the community is scheduled to meet at 3 P.M today Tuesday to hash out the rules of the debt ceiling vote. but before bill can receive a vote in the Full House it must be approved by the majority of a 13-member house rules committee which sets the rules of debate on the bill. So going down at 3 pm today before I misspoke and I said it was after market closed I thought it was an hour after the market closed. Uh, apparently it's an hour before the market closed so definitely be paying attention to that.

Tesla shares jumped five percent on Elon Musk meets with China's foreign minister Elon Musk met with China's foreign minister Mr gang on Tuesday as Beijing pushed to show its open to foreign business and the Tesla CEO reportedly signaled further expansion in China The meeting between Musk and Mr Gang comes at a time of continued tensions between the U.S and China over technology. Tesla poses decoupling and is willing to continue to expand its business in China according to a statement. So Tesla is uppity up up up what's in the debt limit Bill Key Provisions in the Biden McCarthy deal to avert default. We should probably dive into this and get all the details, so let's hold on to that for a second.

I Just want to listen to this consumer confidence. Three Investing tips is the Federal Debt Ceiling X Date approaches. Uh, basically be scared, cry a lot and make sure you hug your loved ones. Avoid emotional selling.

Watch for buying opportunities, Maintain cash reserves. Classic investment. You know, like like I Don't think that one's like really surprising anyone there. All right.

Anyway, we are gonna be listening to the Consumer confidence report coming out today in a minute. A minute. A minute a minute. and the market is not feeling the best looking as we head into it.

So basically we pop for the first 20 minutes of today in video pop Tesla Popped AI pop. But now we are most likely going for this downside. Gap Fell on the spy for 2077 For the longest time. we were talking about this upside: Gap Filter 421.22 and never have I ever imagined that that one would end up getting filled by a downside train.

We were always looking at 421 22. Oh, he's looking at always looking at it. And then over the long weekend, the market agreed that we are stronger than expected and we might as well Gap up above it so that one doesn't really matter anymore. But anyway, we're watching 420 77 to the downside might be a bounce off of that Tesla coming down to its intraday low around 199.

that actually had its own downside Gap though that we were talking about a little bit ago. Uh, two, what was the high from Friday 198.60 we overshot it by a cent. If this holds 190 194. do I want to risk 194 I'm really looking for an opportunity to get in Tesla here.

Really really looking because I like this technical breakout. it might be coming for a retest. so maybe I need a bit more patience on it? Maybe today's not even the day to get in? Uh Nvidia just ripping higher than you could ever imagine. uh Pac West apparently getting hit while of course getting hit because I'm long on it IEP I'm kind of done with that play Microsoft also popped up selling off a little bit.

but anyway, let's listen to this debt sailing talk or excuse me, consumer confidence should be coming out now. come on, where's Rick give us our boy Rick I'll have the markets up just so you can see how everything plays out. Uh, a lot of exuberance at market open today. A lot of exuberance.

good Tuesday morning and welcome to another hour of Squawk on the street. I'm Sarah Ivan with Carl Cantonia and David Faber live as always for you From post nine of the New York Stock Exchange take a look at stocks, give us the numbers. The highs of the Year here up about a third of one oh 102.3 versus 99. Consumer confidence coming in higher than expected and higher than last month 102.3 expectation was 99.

we live in the upside down World Although kind of flattish nine I Think this is going to seal the deal for us to get the downside cheers of Nvidia hitting new all-time highs and it's market cap topping a trillion dollars for the first time ever. It's also the first time a U.S chip maker has joined that exclusive trillion dollar. Club More on this in the AI arms race. Straight Ahead Tesla One of the top gainers in the S P right now as well as CEO Elon Musk heads to China for the first time in three years.

we've got the latest from Beijing. this hour and Netflix Shares are also pushing higher. The Stock's now up 17 percent this month and it's market cap once again by vomiting getting some data this morning at a conference board. Let's get to Rick Santali hey Rick Rick's in chat Yes, headline number expected to be up at 99.00 comes in much better 102.3 102.3 and that jumps over what compensate revision from 101.3 up to 103.7 And what's notable about that is with that revision, it now makes the current better than expected read at 102.3 less than the rear view mirror and the least the smallest month-over-month confidence number since November of last year.

And if we look at the present situation: Rick What a guy Always Chris always put together that's the lowest number of the year you have to go back to December of last year. And yeah, 71.5 71.5 That follows a revised 68.1 that moves up to 71.7 which makes 71.5 the lightest read since February is. Of course, expectations have been a bit on the depressed side. interest rates have been pretty much across the curve lower.

That deal hasn't been passed, but there is a deal we're about in the middle of the range. On a 10-year we've been as high as 377 as well at 373 and a half. Sarah Back to you all right Rick Thank you Rick Santelli With the consumer confidence standard, better on the headline, worse on present situations guys, today's all about digesting the deal that we got from I Guess we can listen to her for a second. I was about to lash out and be like she's not Rick We don't listen to her what happened because maybe they'll have good information.

It's a tight margin for error or tight window here until the June 5th now. X Date that Detroit Market Internals are pretty neutral, but all the research and all the commentary has to do with how this is going to affect the economy, right? this new deal. So there's been some preliminary looks at it, and the good news, at least for markets, is it appears Market Friendly. From that perspective of hurting, it could hurt the economy a lot worse.

2011 saw a little bit more austerity for instance I'm looking at the Goldman note for instance: John Hatsius writing th