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Momentum Market News: Economic Indicators & Technical Setups Momentum Monday: Inflation, Earnings, and Breakouts

The week starts with excitement, as the market gears up for potential breakthroughs on multiple fronts. Join the momentum this Monday, as we delve into a world of stocks poised to break out, key market events to watch, and strategic insights for profitable trading

Today, we will take a sweeping overview of the stock market indices, dissecting their recent movements. Next, we will dissect the economic calendar and earnings releases, addressing potential market-moving data. Finally, we will share five intriguing technical trade setups on stocks with top Zacks Ranks

Insights into Earnings and Economic Data

The economic calendar might seem light in the initial days, but make no mistake – preliminary GDP data on Thursday and PCE inflation on Friday are pivotal inputs for the Fed’s interest rate policy. With the economy and labor market staying robust, the pressure for a rate cut is dwindling. Traders have slashed their expectations for the first rate cut at the March meeting, now setting their sights on the May gathering.

CME Group
Image Source: CME Group

Earnings season kicks off in earnest this week with reports from Tesla, Visa, J&J, P&G, Netflix, Intel, T-Mobile, Verizon, Abbott, IBM, Amex, and more.

Market Breakout Unveiled

The broad market indexes are undeniably strong, with the S&P 500 breaking out from its sideways consolidation to reach new all-time highs, and the Nasdaq nearing overbought levels.

TradingView
Image Source: TradingView

Compelling Technical Setups Unveiled

In this week’s edition, five trading setups – two growth-oriented stocks and two defensive plays – take center stage. If the market remains robust, the former are poised for significant rallies, while the latter should outperform in a market downturn. To add a unique twist, the last setup is a Bitcoin adjacent trade.

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TradingView
Image Source: TradingView

The Bottom Line

As we venture forth, it’s vital for traders to remember that even the best trading setups may falter. Hence, it’s essential to prioritize crafting a trading plan, sticking to it, and implementing stringent risk management protocols.

Wishing all traders a successful week!