Good Morning Traders!
October 14 puts September CPI at the center of today’s trading. The report measures changes in consumer prices, while the core reading excludes food and energy to help reveal underlying inflation pressure. Watch Treasury yields alongside stocks, because the rate reaction can help explain whether the market views the release as relief or another obstacle.
ASML has already reported strong results and an improved sales outlook, offering support for the chip industry after recent weakness. Elevated oil prices remain a competing concern because higher energy costs can keep inflation pressure alive. Today’s bank earnings and management commentary will also help show how consumers, borrowing demand and trading activity are holding up. That combination leaves room for financial stocks and technology to respond differently, even if the major indexes initially move together.
Richmond Fed President Tom Barkin speaks at 1:30PM ET with a discussion focused on the economic outlook and labor market. The Fed’s Beige Book arrives at 2:00PM ET, providing reports from businesses across the country on hiring, spending and prices. Watch whether those details support or challenge the morning’s inflation reaction. Give the first move time to prove itself through stock participation and whether reclaimed levels hold on a pullback.
Now, we will discuss SPY, QQQ, AAPL, MSFT, NVDA, GOOGL, META, and TSLA.
SPDR S&P 500 ETF Trust (SPY)
SPY is currently trading around 779.50 ahead of today’s inflation report, with another round of bank earnings adding to the morning’s focus. Price is above Friday’s high at 779.42, making that area an important test if the early advance pulls back. If buyers defend 779.42, a move toward last Tuesday’s high at 781.62 may develop. Holding the breakout as more stocks participate would make the recovery more convincing.
If SPY slips below 779.42 and cannot recover it, sellers may bring yesterday’s high at 778.75 into focus. Continued weakness could test Tuesday’s close at 778.01 and return price to its recent range. Reclaiming 779.42 would interrupt that downside path. Watch financial stocks alongside technology, since a strong showing from one group may not be enough to carry the entire market through the inflation reaction.
Invesco QQQ Trust Series 1 (QQQ)
QQQ is currently trading around 743.00 after recovering from Tuesday’s low, while ASML’s strong results offer fresh encouragement for the semiconductor group. If buyers reclaim Thursday’s low at 743.23, price may recover toward Tuesday’s close at 743.57. Clearing that barrier could bring yesterday’s high at 744.20 into focus, followed by Monday’s low at 744.85. Those nearby barriers matter before looking for a larger reversal of this week’s technology weakness.
If QQQ remains below 743.23 and buyers cannot recover it, sellers may test Tuesday afternoon’s 742.26 pullback low, followed by the later 741.16 swing low. Yesterday’s low at 738.83 becomes relevant if the decline expands. Returning above 743.57 would weaken the downside case. NVDA and MSFT should help show whether buyers are gaining support across technology, especially after CPI changes the market’s expectations for interest rates.
Apple Inc. (AAPL)
AAPL is currently trading around 342.75 after Tuesday’s HomeView introduction accompanied an early rally that faded before the close. If buyers defend Monday’s high at 342.63, price may recover toward Tuesday afternoon’s rebound high at 343.95. Clearing that area could bring the September 22 high at 345.34 into focus. Protecting the first recovery on a pullback would show more progress than another early push that quickly gives back its gains.
If 342.63 breaks lower and cannot be reclaimed, sellers may test last Thursday’s high at 341.57. Continued pressure could expose Tuesday’s low at 340.74. A return above 342.63 would weaken that downside scenario. The product announcement is now behind us, so watch whether buyers preserve today’s rebound while QQQ responds to inflation. Apple needs to show that the recent enthusiasm can translate into sustained price strength.
Microsoft Corp. (MSFT)
MSFT is currently trading around 544.75 after Tuesday’s advance reversed from 551.15, leaving the stock near the bottom of its daily range. If buyers defend yesterday’s opening price at 544.64, price may recover toward the afternoon rebound high at 545.73. Continued strength could bring the later rebound high at 546.33 into focus. Holding above 544.64 on a pullback would help establish that buyers are repairing the late selling.
If Tuesday’s low at 543.06 fails to hold, sellers may test Monday’s high at 542.74. Losing that nearby reference could expose Monday’s close at 541.15. Reclaiming 543.06 would interrupt the initial breakdown. Microsoft said overnight that Azure leadership had not directed teams to develop cost cutting plans, countering an earlier report. Its earnings remain scheduled for October 28, while today’s immediate test is whether the stock can regain its nearby resistance.
NVIDIA Corporation (NVDA)
NVDA is currently trading around 228.75 after recovering from Tuesday’s early decline and finishing near its session high. Today’s announced collaboration with LSEG adds a company catalyst, while ASML’s results provide broader chip industry context. If buyers clear Monday’s high at 228.86 and defend it, price may test Friday’s low at 229.11. Continued recovery could bring last Thursday’s low at 229.85 into focus.
If NVDA falls below Tuesday’s close at 228.52 and cannot recover it, sellers may press into the late session high at 228.03. Further weakness could test the afternoon rebound high at 227.73. Returning above 228.86 would weaken that downside path. Tuesday’s recovery repaired part of the recent selling, but NVDA still needs to preserve that progress after inflation data. A stronger chip group alongside QQQ would make the rebound more convincing.
Alphabet Inc Class A (GOOGL)
GOOGL is currently trading around 357.00 with an early rebound following Tuesday’s retreat from 358.58. Google DeepMind and Google Cloud announced expanded access to their AI models for European scientific researchers today. If buyers defend last Thursday’s high at 356.83, price may advance toward Tuesday’s intraday rebound high at 357.24. Sustained strength there could bring yesterday’s high at 358.58 back into focus.
If 356.83 fails to hold, sellers may first test Monday’s high at 356.50. A breakdown there could expose Tuesday afternoon’s 355.33 swing low and unwind more of the early rebound. Reclaiming 356.83 would put that downside scenario on hold. Alphabet finished Tuesday above Monday’s close while QQQ moved lower, giving traders a useful comparison today. Watch whether that relative strength survives the inflation reaction and the first meaningful pullback.
Meta Platforms Inc (META)
META is currently trading around 763.50 after two strong sessions following Monday’s release of the Muse Wonder AI models. If buyers defend Tuesday’s close at 762.50, price may rotate toward the afternoon rebound high at 765.46. Clearing that area could bring the later session peak at 767.96 into focus. Those are the nearby hurdles before yesterday’s high at 771.27 becomes the main upside reference.
If 762.50 breaks lower and buyers cannot recover it, sellers may guide price toward Tuesday afternoon’s swing low at 760.37. Continued weakness could test the later pullback low at 759.85. Returning above 762.50 would interrupt that downside path. The recent advance gives buyers progress to protect, but it also leaves room for profit taking. Watch whether META holds up alongside other large technology names after CPI, rather than relying on excitement around the new models alone.
Tesla Inc. (TSLA)
TSLA is currently trading around 375.00 after Tuesday’s rebound from 371.30 stopped short of recovering Monday’s range. If buyers reclaim last Thursday’s high at 375.96 and hold above it, price may test yesterday’s high at 377.05. Clearing that nearby barrier could bring Monday’s low at 377.58 into focus. A pullback that stays above 375.96 would strengthen the recovery and show that buyers are preserving their progress.
If last Wednesday’s low at 374.43 fails to hold, sellers may test Tuesday afternoon’s swing low at 373.51. Continued selling could expose the later 372.72 pullback low. Reclaiming 374.43 would weaken that downside scenario. Tesla’s earnings report is scheduled for October 21, but today’s direction still depends on the response to nearby levels and broader risk appetite. Another bounce that cannot recover 375.96 would leave the recent weakness unresolved.
Final Word: Good luck, trade safely, and have a great Wednesday!
Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga’s reporting and has not been edited for content or accuracy.
