🗓️ DailyEdge: Wednesday, October 16

Image source: Photo by Clément Proust - Pexels

China Calls for Security Review of Intel Products. 🔒 The Cybersecurity Association of China is urging a national review of Intel products, citing alleged threats to the country’s security. This move could trigger scrutiny from China's cyberspace regulator, escalating tensions in the tech sector amid ongoing US-China relations. Yahoo Finance reports.

🚀 AeroAssets: Boeing lines up $35 billion in funds as strike hammers finances. Reuters reports.

🤖 AI-ppeal: Apple stock hits record on optimism AI will spur iPhone sales. Yahoo Finance reports.

📉 NetStall: Netflix subscriber additions likely slowed, growth strategy in focus. Reuters reports.

🚗 Hy-IPO: IPO-bound Hyundai Motor India's operations. Reuters reports.

⏩ TradeRush: EU announces next steps on move to T+1: ‘It is urgent to act’. Securities Finance Times reports.

💼 PfizVanguard: Pfizer taps Vanguard veteran for board amid fight with Starboard. Reuters reports.

(All pricing and percent gains are based on Early Pre-Market from 4:00 AM to 7:00 AM Eastern Time)
Benzinga reports.

1. $STEC: Santech Holdings
Total gain: 347.21%

2. $VS: Versus Systems
Total gain: 203.47%

3. $DUO: Fangdd Network Group
Total gain: 49.99%

4. $TAOP: Taoping
Total gain: 49.44%

5. $BURU: Nuburu
Total gain: 34.24%

* Bob Iaccino is a chief market strategist and co-founder of Path Trading Partners. He joins us live every Thursday from 11am ET, as our Risk Management educator.

Understanding Price Action: A Trader’s Guide to Support, Resistance, and Market Movement

As traders, we constantly navigate the complexities of market movements, trying to discern patterns that can guide our trading decisions. Price action analysis remains one of the most reliable methods to decode these movements. Today, I’ll share my approach to price action and how you can leverage it to improve your trading strategy.

What is Price Action?

At its core, price action is about observing the historical movement of prices to make trading decisions. This approach excludes the use of technical indicators or trading algorithms. Instead, it relies on the analysis of price movements alone. While I do utilize a few indicators to support my conclusions, the key here is to let the price itself dictate the next move.

Understanding Support and Resistance

Support and resistance are fundamental concepts in price action. These levels represent the prices where assets repeatedly reverse direction—support acts as a floor preventing prices from falling further, and resistance acts as a ceiling stopping prices from rising. Identifying these levels can help you pinpoint entry and exit points for trades.

The closing price of the top three market percent gainers trading near or above $3 on October 15.

*All pricing and percent gains are based on regular market trading hours from 9:30am to 4:00pm Eastern Time

1. $DRUG: Bright Minds Biosciences
Total gain: +1,392.77%
The company is advancing a pipeline of next-generation, serotonin-targeted therapies for treating neuropsychiatric disorders, positioning itself as a leader in innovative mental health solutions. Benzinga reports.

2. $WCT: Wellchange Holdings
Total gain: +21.31%
The stock appeared to be moving on no notable news.

3. $WOLF: Wolfspeed
Total gain: +21.09%
The U.S. Department of Commerce and Wolfspeed have announced a non-binding preliminary memorandum of terms, proposing up to $750 million in direct funding under the CHIPS and Science Act. Additionally, a consortium of investment funds led by Apollo, The Baupost Group, Fidelity Management & Research Company, and Capital Group has agreed to provide Wolfspeed with $750 million in new financing. Wolfspeed also anticipates receiving $1 billion in cash tax refunds from the advanced manufacturing tax credit under the CHIPS and Science Act. In total, this gives the company access to up to $2.5 billion in capital to support the expansion of silicon carbide manufacturing in the United States. Benzinga reports.

*Estimate and Actual numbers represent Earnings Per Share in US Dollars

PPG: PPG Industries
3Q 2024
After Market Close
Estimate: 2.150
Actual: N/A

AA: Alcoa
3Q 2024
After Market Close
Estimate: 0.280
Actual: N/A

KMI: Kinder Morgan
3Q 2024
After Market Close
Estimate: 0.270
Actual: N/A

Time (ET) / Report / Period

8:30 am - Import price index - September
8:30 am - Import price index minus fuel - September

“Successful investing involves doing just a few things right and avoiding serious mistakes.”

― John C. BogleSourced in:
"The Little Book of Common Sense Investing", by John C. Bogle, published in 2007