00:00 President
It's time now for today's strategy session. The profits season is in full swing with four magnificent seven members who report this week. All Mag 7 actions except one fell below their 200 -day mobile average. So, what do the technical indicators represent for what comes next? Join us now, Larry Trérelli. It is the main technical strategist of the Daily Trend Blue Chip report. Larry, I think that if we are talking about Mag 7 this morning, I have to start with you on Amazon because it is a stock that now drags the entire retail sector this morning. To what extent do you think that Amazon is able to withdraw something in this impression of income this week which will allow them to be a positive bell tower for the MAG 7, despite the action of the current market which is very linked to Amazon as a retailer and not as a technological business?
01:02 Larry Té Troprelli
Of course. This is a great question. I don't know I have a super clear answer for you. I think the main thing will be really based on advice before. We really don't know what it will be. Amazon, because they are linked to the consumer, we are in an unexplored territory because there is no plan for this price cycle at the moment. But I think it will be a very important index for the sector.
01:42 President
While you are looking at some of the technical indications that take place in the technology sector at this stage, of course, two of these biggest names Mag 7 in Nvidia and Apple were two of the first large companies, Mega Cap Tech Companies, to really launch part of the withdrawal of this year. Where do techniques tell us now?
02:10 Larry Té Troprelli
So, Mag 7 is still not my favorite place. I see much stronger graphics, Palant, Crowdsstrike, Netflix. Mag 7, I think it had to be exaggerated. I think that many foreign investors had parked money in MAG 7 and as the US dollar has sold, I think they also sold the Mag 7 shares. Thus, triple Q is still under the 200 -day mobile average. The S&P is. So I'm still, I don't yet like Mag 7, but I am open -minded that if the income passed and the actions arise, then it could be more positive.
03:07 President
And do you think that there is a potential for the opposite, so that there is much more inconvenience for the Mag 7, since you are already a little skeptical?
03:22 Larry Té Troprelli
I don't know if I would say much more inconvenience. So, what we saw in the S&P 500 two weeks ago, the largest weekly volume in 14 years, and it was a week of major inversion. So, historically, this is the number of bear markets. So I don't know that I would say that there is a major drawback in itself in the Mag 7, but I think we have to stay open -minded that if they were soft on the advice, you might see a drawback.
04:03 President
Is it always the year to sell in May and disappear? Is it at all involved what you see, especially given where investors were guided in the type of correction of the early market to buy on the DIP compared to what they are guided now, which sells the rally?
04:31 Larry Té Troprelli
RIGHT. I think we are on a different market this year. So I cannot say that selling in May, I think that historically, if we return over the past 10 years, the sale in May has not really worked. I think it is a cycle of new volatility with very high volatility. I think that last week, we had a very optimistic week and that volatility is starting to get out of the market. But I think it's really very specific to the graph. I think the S&P and the Nasdaq 100 are in the recovery phase. So I'm looking to buy withdrawals rather than selling rallies.
05:15 President
Interesting. Larry, great to see you. Thank you for joining us in the studio this morning.
05:21 Larry Té Troprelli
Thank you so much.
05:23 President
Absolutely.
