The Stock Market Is About To Trap Everyone (Tomorrow)

[00:00:00] Speaker 1: Iran said no dialogue will take place with the U.S. and Trump says he doesn't care. The S&P 500 is on pace to continue its 10-week win streak while also trading at its most expensive valuation in history. Oil prices are up 8% and Exxon expects them to rise by 60-70% more in the coming weeks. Today we cover why stocks are rising, what to know, and where the action is right now. [00:00:30] Speaker 2: The S&P 500 held support today, the uptrend is intact, and a new all-time high was posted at 760.31. Oil also surged today, and Exxon is saying that oil prices will rise 60-70% in the coming weeks due to the Iran war. And speaking of Iran, this morning Iran announced that they are stopping all communication with the U.S. They threatened to completely block the Strait of Hormuz and the Bob Al-Mandeep Strait. They said no dialogue will take place until Israel fully withdraws from occupied areas in Lebanon and stops all attacks in both Lebanon and Gaza. S&P 500 futures ended up falling 0.6% on this news, and crude oil futures ended up popping over 6%. At the same time, Iran ended up firing drones and ballistic missiles targeting American forces in Kuwait last night. CENTCOM confirmed the two missiles were intercepted, and no U.S. personnel were harmed. [00:01:31] Speaker 1: Trump's response to all this was kind of all over the place today. When asked about Iran ending negotiations, he told CNBC, and I'm quoting directly here, I really don't care, I couldn't care less. And then hours later, he announced that talks with Iran are continuing at a rapid pace, which the market moved higher off of. He posted a Truth Social saying how the shooting will stop after he had very good calls with Israel and Hezbollah. Though, Netanyahu, who is the Prime Minister of Israel, posted on X that he told Trump that if Hezbollah does not cease attacking Israeli cities and citizens, then Israel will attack targets in Beirut, which is Lebanon's capital, and that the Israeli defense forces will continue to operate as planned in southern Lebanon, whatever that means. So basically, Iran cut off communication with the U.S. this morning, because Israel is attacking its allies. Trump called Netanyahu to get him to stop, and then said that the talks with Iran are continuing at a rapid pace. But Netanyahu's post doesn't necessarily sound like the shooting's going to stop, and Israel might not want the war to end yet. While all this is happening, the stock market is trading at its most expensive valuation in history, surpassing both the dot-com bubble and the run-up to the Great Depression. [00:02:54] Speaker 2: And this measure tracks multiple different valuation metrics like trailing P.E., forward P.E., and a lot more. But it's just such a truly historic time in the stock market, with valuations being above those previous times, like 1929 and the 2000 dot-com bubble, where the market experienced extreme turbulence. But something that's nice for the market right now is that the stock market has never peaked in June, going back to 1950. That's a great sign, because technically today, the stock market just made brand new all-time highs. And if the market plays out to historical data, it would be pretty nice to see it continue up through June and peak out later in the year. [00:03:36] Speaker 1: Definitely. And one thing that's really helping support the bullishness right now is how strongly the market leaders are moving. And NVIDIA, I'm looking at you. It rose today by 5.6% after announcing a major push into the personal computer market. This was huge for NVIDIA. They unveiled a new processor to compete with companies like Intel and AMD. And speaking at a trade show in Taipei, the CEO of NVIDIA revealed that the RTX Spark Super Chip will launch this fall and select laptops and desktops from leading PC makers, including Dell, HP, and Lenovo. And the new processor combines computing and graphics functions into a single chip and supports the Microsoft Windows operating system on ARM-based architecture. So, super bullish thing for NVIDIA, and traders are loving this news. [00:04:32] Speaker 2: Yeah, that was an amazing move by NVIDIA's stock today. And remember on Friday, NVIDIA's stock was actually falling on rebalancing news with the MSCI. So, it was great to see that rebound today, and the news actually didn't stop there. The CEO of NVIDIA also announced the launch of Nemetron 3 Ultra, a 550 billion parameter large language model, or LLM, at Computex at this event and declared that the era of agentic AI has arrived. He also highlighted certain companies like ticker symbol NOW or ServiceNow, CrowdStrike, ticker symbol CRWD, and even PLTR or Palantir as companies that will see, in quotes, the biggest opportunity they have ever seen from AI agents. And all of this pushed the stock market to brand new, all-time highs today of 760.31. And the S&P 500 is on track to extend its weekly winning streak to 10 consecutive weeks, according to Dow Jones market data. But the last time that the S&P actually ran for 10 weeks like this was a 12-week stretch that ended in December of 1985. But as we zoom in on the SPY, and we look at it more in the shorter term, it's on a clear uptrend. And we've talked about this uptrend a lot on the way up. And something that we saw today was a hit right around the bottom of the uptrend. And guess where that hit occurred at? It was right around 755. And we've been talking about that 754.50 to 755 support a lot over the past couple trading days. The SPY has continually held this and bounced higher. And also, it was good to see it bounce off the lower end of that trend. So shout out to everybody that took advantage of the support this morning and ended up buying up the dip. Either way, though, the SPY ran up to around that 760 resistance. And this was one of the biggest levels that we've been looking at over the past few weeks. If we do see 760 break tomorrow, keep your eyes on 765 to the upside. I would not be surprised for us to get there pretty quickly. We have to remember that the SPY technically had a five-point move from this morning into the afternoon. So that level could come into play pretty quickly. But as we can tell, if it follows the current trend, it might not get there tomorrow specifically. It might take a little while for this to play out. But keep that level on the radar. If we do see the SPY pull back, keep 755 on the radar. We're really not far off. And if it breaks back under there, it could signal some bearish opportunities. [00:07:03] Speaker 1: Let's keep it close on watch. Another thing to look forward to this week is the earnings lineup. It's not as crazy of a week as we've had recently. Broadcom and CrowdStrike will be the biggest reports of the week on Wednesday after close. But the week's already starting off in a crazy way. Ticker symbol HPE reported earnings today. And they skyrocketed by 30% on their biggest earnings beat since 2018. And we have been seeing some crazy earnings moves lately. So keep these stocks on the radar going forward. Looking at the economic schedule, it is more of a calmer week, which I appreciate. But we will have some important economic data on Friday, one hour before open, which will be the unemployment report. So look out for that. We will also have some JOLTS job openings data 30 minutes after market open tomorrow as well. So keep that in mind. But besides that, Tom, let's jump right into the good stuff, which are some setups and predictions. A stock that is still on my radar is CRM and it's to the upside. I know we mentioned this one yesterday and it had a great day today, but I wouldn't be surprised if it had even more potential. CRM is one of the many stocks that has gotten massacred over the past, you could say, seven to eight months or so in the software industry, as investors have been concerned that this industry is especially vulnerable to AI disruption. A lot of these stocks are starting to bounce off their recent support levels. And even with that being said, CRM is still close to like 50% off its all time highs. The stock has a lot of strong momentum in the short term, and I wouldn't be surprised if this stock offered some good long-term opportunity as well. But either way, CRM is on my bullish radar in a shorter term sense. At this point, it was up close to 10% today. So the more pressure it continues to put on its recent highs, the stronger the shorter term bull thesis is. And once it starts to slow down, then, you know, of course, the bull thesis gets less strong. [00:09:18] Speaker 2: That was one hell of a breakout today. Shout out to you, Mike. The stock was up almost 10%, and I love the way it's breaking out of that downtrend in the short term. But with my first play, I'm looking at ticker symbol FLNC, which is Fluence Energy. We actually had a recent big money trade with Fluence Energy where on May 20th, the big money trader essentially sniped this pullback here and put $2.2 million into the 22 strike calls, which are now in the money by a lot as the stock closed around $27 today. Now, something pretty significant with Fluence is that they actually ended up partnering with NVIDIA today. Yes, this is a pretty insane partnership where they're going to be launching new specialized AI data center power and electrical reference architecture purposely built for NVIDIA's high-density Verirubin supercomputer platform. This stuff gets a little bit complicated, but under the blueprint, Fluence's smart stack battery energy storage systems are integrated directly into the infrastructure to provide essential grid support, handle spiky AI workloads, and smooth out heavy power loads as well. Of course, like I said, it does get a little complicated, but the AI game and chips are pretty complicated in themselves. But this stock closed up 43% today. That was one hell of a rip, and if I continue to see it move tomorrow past $29, I will look for a continuation. There is actually a peak on this stock from the beginning of the year before it sold off on earnings. This peak is around $33.45. I think that this would be a very advantageous target for the next few trading days. [00:10:53] Speaker 1: Yeah, any stock that has AI news has the potential to run, and just ask Ford about that as a recent example. But another stock that's still close on the radar is XLE, and it's to the upside. This was another one mentioned yesterday, and it had a pretty good day today as oil prices rose. And basically, U.S. energy companies appear to have a lot to benefit as oil prices continue to remain elevated, and the war between the U.S. and Iran doesn't appear to be ending anytime soon. On top of that, a lot of countries around the world have been drawing on their strategic petroleum reserves, especially including the U.S., so even when the war does end, there's going to be a lot of reserves that need to be refilled. So I think that there's going to be a lot of demand for energy going forward, and I think U.S. oil companies have a lot to gain. XLE is on my bullish radar, not only in a medium-term sense, but also in a shorter-term sense, too. [00:11:56] Speaker 2: Something that I'm actually looking at with XLE is the way in which it's starting to rip to the upside here. It almost reminds me of the way in which it started to rip off of this trend line the last time. It technically broke under this trend line, but we are starting to see bad news coming out of Iran negotiations again, like how they're vowing to completely block the Strait of Hormuz. I feel like the whole reason oil's been going down lately is because people have been pricing in the Strait starting to open, potentially. But it sounds like that's going in the opposite direction. I will watch it closely. But with my next play, Mike, I'm actually looking at DraftKings, which was up 7.5% today. And it's actually been quite a while since I've looked at DraftKings. Now, there was a big money trade for $3.5 million called out back on March 9th of 2026 for the 30-strike calls expiring in December. The way in which DraftKings is starting to uptrend now is providing another good opportunity. The big money trader was a bit early there, but as we can see, it's actually starting to test, if not even potentially break out, of the big resistance that it's been stuck in for the past few months. So if you missed this big money trade from the past, I still think it's a pretty good one to take a stab at here. This play has a lot of time to it, out to December, and we're actually at that point where we could be seeing the resistance starting to break and a much bigger move come in as traders start to buy up a lot of these buy-the-dip opportunities from a lot of these companies. So I'll be watching DraftKings very closely in the short term. I love the price action and test of that resistance. Just be mindful, if it does reject that resistance, you're going to probably have to give the play quite a lot of time out to December for it to eventually play out. [00:13:36] Speaker 1: Yeah, let's keep it close on watch. Definitely an interesting stock, but let's also jump right into today's momentum plays as well. With the first one, we have Zoom Communications, ticker symbol ZM, to the upside. I love the way Zoom moved this morning. [00:13:51] Speaker 2: It was a great run early on. If it breaks out above 115 tomorrow, watch it to the upside again. [00:13:57] Speaker 1: With the next one, we have Oracle, ticker symbol ORCL, also to the upside. [00:14:02] Speaker 2: Some of these software stocks are getting hilarious in how much they are rising. If Oracle can move out above $250.50 tomorrow, watch it to the upside. [00:14:12] Speaker 1: And then with the last one, we have Rocket Lab, ticker symbol RKLB, to the downside. [00:14:17] Speaker 2: Yeah, Rocket Lab got crushed today, as did a lot of space stocks. So, I'll be watching Rocket Lab lower. If it breaks under 121, watch it to the downside. [00:14:26] Speaker 1: All right, so we have these three stocks on the radar for potential continuations tomorrow. If and only if they break through the levels listed, these stocks are volatile. So, always protect yourself. Use stop losses. Only risk an amount you're comfortable losing. And focus on what matters, which is making smart, disciplined trading decisions. As always, if you need any help, check out all the information in the StockedUp Discord server. But besides that, let's also jump right into today's $3 million big money trade. And today, we are looking at ticker symbol ZS. The trader here bought the 170 strike call options that expire on November 20th of 2026. This is a $3 million trade. And this company is Zscaler. It's an American cloud security company that offers cloud-based services to protect enterprise networks and data. This stock is down roughly 60% since November as investors have been frantically selling stocks that they deem to be at risk to be disrupted by AI. Zscaler is one of the victims in this case. But basically, looking at this trade here, the trader is positioning themselves to benefit from the stock recovering. The options have roughly 172 days worth of time to them. And they are slightly out of the money, which shows that the trader here is expecting a fairly large move over the coming months. The stock did gain a good bit of momentum today. And there does appear to be a lot of support around that 120 range. [00:15:59] Speaker 2: Yeah, that 120 range is a huge support. And actually, as we zoom out even more on Zscaler, we go back all the way to the COVID low, actually. This is pretty funny. Zscaler is following a massive trend line. Now, these trend lines don't always have to continue to hold up. Eventually, they could break down, of course, if the company sees enough downside pressure. But I think that this is important to watch because not only are we at major support, close to 120, but that trend line is also coming into play here. That gives me a bit more confidence. Of course, with their recent earnings, they did gap down in a major way. But over the past few days and even the past few weeks, we've been starting to see software recover. I do think that there could be a possible fill the gap situation here up to around 180 to 182. But I do think that this play, you're going to have to give it more time, even if it does pop up over the next couple of trading days. I feel like the big money trader here could be positioning themselves for a much larger move. I actually wouldn't be surprised if Zscaler ended up breaking past the recent peak around 192 if this uptrend really does start to materialize. So keep it on the radar. It has a lot of time. It's on a nice support and trend line. And keep in mind, this is a pretty big play, too. $3 million is no slouch for a big money trade. [00:17:15] Speaker 1: Yeah, let's keep it close on watch. Should be interesting. And if you're new to the channel, welcome and consider obliterating that subscribe button. For every single trading day, we post brand new videos just like this one. Showcasing multi-million dollar big money trades, spy levels and analysis, stocks to keep on your radar, upcoming news, information, events, past stats, and so much more. It takes a long time to make these videos for each trading day. And if you subscribe, you'll get them recommended to you more often. So definitely consider doing that. And if you guys are into short-term trading, check out that first link in the description and comments down below to get access to the stocked-up trading floor at the lowest price possible. Coupon code AUTOTRENDS will get you in at the lowest price possible. Today, our surge broad had a pretty great day as the meta put options moved up by 317%, the CRM calls by 140%, MDB calls by 124%, ANET calls by 103%, the list goes on and on. And of course, there were a handful of duds sprinkled in there as well. You also get full access to the daily big money trades, all of our custom tools to see the best performing big money trades, to see when the traders exit. You can access our weekly live events, chat with Tom and myself all day long, and access basically everything you could need for short-term trading. Again, coupon code AUTOTRENDS will get you in at the lowest price possible. And also, we want to give a huge shout-out to today's member of the day, Gus, in the stocked-up Discord, who had some beautiful profits today with ticker symbol FLNC. About $500 in gains today. Shout-out to you, Gus. Keep up the great work going forward, and it's awesome to see posts like this one. Thank you guys so much for watching, and let's crush it in the market tomorrow.