Markets have started the week off slightly to the downside. We are light on earnings for the next couple of weeks as we come into summer trading and the VIX sitting at $16.53. All the focus this week will be on the Fed meeting, which concludes Wednesday with an announcement and press conference. The Fed last met prior to the April and the May jobs numbers, so a lot has happened since their last meeting and Chairman Powell will have to field some tough questions regarding jobs, inflation, and any consideration of tapering, but all expectations are that he stays the course for now. We have the 10-year Yield at about 1.5%. Gold has pulled back harshly since Friday, and the VIX has traded with a 15.xx handle for the 4th consecutive week as volatility sits near post-Covid lows.

DIS is trading at $177.67. We bought DIS at $118.63. Disney has continued to trade nicely to the upside from the .382 of their run from the November lows. Disney may also be forming a small ABC up taking it to the $189 area. The next stop for Disney is $183.40 (the high from Dec 31st, 2020), which acted as support, and may now be an area of resistance as we trade up to that level. Over the next 3-6 months look for Disney to accelerate their openings and the stock should begin to recognize that transition.

CRM is trading at $244.04. We bought CRM at $215.35. CRM is trading nicely through the $240 area today that we've been talking about for some time now. CRM has about a $20 trading range, and now that we've accelerated through the $240 price point, $260 is the next stop. CRM is up 17% since it was trading at $209 on May 12th. The S&P is up about 5% over that time, and the Nasdaq100 is up about 8% over that same time period.

WMT is trading at $140.17. We bought WMT at $140.91. WMT rejected lower price last week. WMT has been struggling to get above the $150 area, which correlates to the gap left open from their earnings in February. WMT is building cause to break above this area. WMT also has a dividend yield of 1.56% right now at this price level. WMT continues to look strong and well positioned to benefit from stimulus as the country opens back up.

MCD is trading at $235.75. We bought MCD at $216.91. MCD accelerated higher Thursday and Friday of last week, and is pushing right near all-time highs. MCD is in an ABC up formation, which will take it up to $255.76. MCD passed its B point the week of April 5th with 14+ million shares traded on a weekly basis vs. 10.5M and 9.5M at its B point back in October of last year. MCD is consolidating near its B point before trading higher. MCD has a dividend yield of about 2.18% right now at this price level.

UBER is trading at $51.20. Uber continues to consolidate near the $50 price point, after having bounced nicely from its recent low of $43.17. Uber may be forming a smaller ABC up that could take it up to the $57 area. Uber had pulled back to the .618 from its entire run higher from November of last year. Uber had also pulled back to a .382 of its entire run from the Covid lows from March of 2020. This is a nice area of confluence at about $45, which also correlates to the high from the week of November 2nd. Uber rejected lower price on May 27th when it traded 51 million shares. Uber is building cause to break above this high volume bar, with that price level being $51.69.

Earnings on our radar this week:

Tuesday: Oracle (ORCL)

Wednesday: Lennar (LEN)

Thursday: Adobe (ADBE), Kroger (KR)

Stay tuned for updates!

Options Trades:
June 4th $414 - $412 SPY Debit Put Spread expired for a loss of $0.20 or 100%.

Short Term portfolio:
None active

Long Term portfolio:

Long half position in WMT at $140.91. WMT is trading at $140.79. Stop is $125.31.

We are effectively long CRM at $215.35. CRM is trading at $238.36. Stop is $193.64.

Long half position in DIS at $118.63. Disney is trading at $177.14. Stop is $98.45.

Long half position in UBER at $31.50. Uber is trading at $50.94. Stop is $26.24.

Long half position in MCD at $216.91. MCD is trading at $233.42. Stop is $189.50.