The Big 3: GOOGL, SMCI, CVS

when you have someone that actually cares. Welcome back to trading 360. I'm Marley Kayden. It's time for the big three. We've got three stocks and three charts for you today. Rachel. Michelle will take us through the charts here to take us through the trades. Tim Bohen Chief technical trainer at stocks to trade.com. Great to have you both on. Tim. Welcome back to the show. Let's kick it off with a thought on this just wild market action. We've seen in response to the earnings that we've gotten. Well first of all Marlee welcome back. I mean I know the Odyssey is in the news, but I felt like, you know, Ulysses wandering the Mediterranean waiting for you to come back, I think you're. Thank you for coming back. I missed you while you were gone. That being said, you know, listen, the market, you know, I love it. You know, it's really playing out kind of exactly the theme that I was looking for. Now, I do have a couple AI plays today, but I just want to kind of commentate on two things. Speaking of Mali's return to trading 360, we also have a great day today. It is a officially, Jensen Wang joins Twitter. Probably. I'm from the Midwest. I probably butchered his last name, but the Nvidia guy okay joined X today. Dropped the exact thesis that I've been talking about going back to January and kind of reiterated last week, these open models. I love what now? Now it's creating a lot of fear in a lot of these stocks because people don't really understand the story. I love it, okay, these open models are going to put massive heat on OpenAI and anthropic and others. And I said it last week, never short American. So I mean, the nice thing is listen, Sam, listen. Dario can't stand the heat. Get out of the kitchen. But I think that this is going to create massive innovation in the AI sector like we need anymore. I mean I can barely keep up as it is, but a lot of people are misinterpreting the story. A lot of the AI related plays pulling back. We're just setting up for an amazing fall and winter in the stock market and the AI sector. I mean, it's coming together. It's like, I know I throw out the dumb references, but it's like I feel like Hannibal and a team. I love it when a plan comes together. That being said, you know, I got a mix of AI and safe plays today when it comes to looking forward, get ready in all these AI hardware plays because, you know, we saw it with that release of Kimi. Okay, last week. I talked about it later that night. They closed Kimi because they didn't have enough hardware. Okay. One of the ideas today makes a lot of hardware for those AI plays. So there's always opportunity out there. You just got to kind of avoid the FUD and look for the good ideas. All right. And I was sick last week, but calling me out on my summer Fridays. Tim, we we have to get you in on a different day. I'm consistently here Monday through Thursday, but I want to get your thoughts on alphabet here. I mean, you said the market's sort of missing. The bigger picture in some ways. Is the market missing the bigger picture on alphabet. Well listen this was one last fall during the whole AI bubble. You know that little three week period where everyone was calling it the bubble. I was on with Nicole on the on the morning show. And you know, she got, you know, the theme of the show was, hey, what's your one AI idea for 2026? And I was like, love Google now. Love that chart right there. I think it was September or October. I was on with Nicole and it worked out pretty well. But you know, as always, the market doesn't sit still. You know, AI doesn't sit still. And I'm looking at Google right now, and I'm old enough to remember I used to be a yahoo yahoo power user. Okay? It was the greatest thing ever. And we know what Google did to them. And I look at this pullback to that support. Love that chart right there. Like if this stock bounces here if Google can figure it out, which I have faith in them to figure it out. I think that this pullback to that recent resistance that's hopefully now support is going to be a great entry. But at the end of the day, man you're only as good as your last hit. And they better figure it out right now. Or we all know what happened with yahoo. All right so Rachel, as we look at the chart for alphabet, obviously the earnings had a mixed reaction wasn't what Google hoped for. But we are moving slightly higher today as you're looking at the technical setup both over the short and longer term. What are you seeing in the charts? Yeah. Molly. So on the shorter term chart, we can see that there's former support around 340. That really becomes new resistance. Obviously there was a pretty ugly earnings reaction here recently. And price has just been resolving lower and lower since it's well below its 50 period moving average here. Looking at the hourly chart. And it's in a bearish momentum regime as well despite some short term strength or consolidation here at these period lows. And price right now appears to be forming a possible bear pennant pattern. So once this consolidated triangle formation here at the lows completes, traders could look much lower here at least just in the very short term down another $20 possibly since that is the possible measured move from this bear pennant formation. All right. Now I do want to cover some breaking news really quick. We don't usually do this in the middle of the big three, but we are seeing a bit of a market turnaround here. We've got the Russell in the green now up a third of a percent higher. The Nasdaq still down 4/10. But it's our only one in the red here. Pakistan is considering returning to talks with the U.S. Iran stalled talks to end this nearly five month war. So as I'm just sort of looking at the big board, I wanted to keep an update here. That's following a push, reportedly from China to reenter the conversations. Exploratory discussions took place during Iran's interior ministers visit to Islamabad this week, his second in the last ten days. This is unconfirmed reports, but it is seemingly enough to be moving the markets a bit. So I did want to address it before we moved on. And of course, we'll continue following that throughout the day to see if there is, in fact, any progress on this front, which I'm sure the markets would welcome. But let's dive back in to the big three here. You've got Supermicro as your second pick. I like Supermicro in that they've had some good headlines, but they've also had a slew of some really negative, particularly legally negative ones here too. Tim. Well, first off, thanks for the breaking news. I did see that reaction. Listen, my opinion is it's probably more like Marly, Rachel and Tim save the market on trading. 360. But you know, hey, whatever. But that being said, Supermicro, this was that, you know, this was that stock just, you know, my swing trade eight years ago kind of picked this off as kind of the, the AI play, kind of like, I mean, this is years ago, back way before the move we all know about and huge pullback. And as you mentioned, you know we see that big gap down right there when and I don't recall the exact headlines, but like smuggling chips and it was some weird stuff. But the point is we filled that gap right back to before whatever that news was. It was odd. But anyway, we filled that gap. And you see right there, you know, last time we filled the gap had a pretty good run up from there. So, you know, again, AI hardware people, all of the hyperscaler, I mean, they cannot buy enough hardware. Supermicro is kind of they're not the only one, but they're kind of like the household name when it comes to data center plays. So as long as they don't have some more weird headlines, I think we can repeat a move kind of like there just a couple of weeks ago. All right. Rachel, are you seeing the same here? I mean, this is a much more volatile name than alphabet here. But they they have had some momentum on their side. They're up about 25% over the last week of trading thanks to their $60 billion backlog that they announced. So what are you seeing in the charts. So in the short term I mean most of this period has really been defined by a downtrend. As you can see with the white little trend line that I drew there where we did see eventually a break of resistance there with that large decisive candle on Tuesday where price clearly changed the direction of this trend. So that move put SMCI in a bullish regime in the short term. Now we can see the MacD or momentum gauge is still sitting on the zero line as price is sitting just above old resistance. Now new support around $30. And I would say since we did see a higher high that was just made, the next thing that comes after that typically is a higher low. So in the short term, as some see, I may pull back to the midpoint of that large Tuesday candle around 27 to form that higher low from there to show that there is a now possibly a structural uptrend in place, or at least a reversal. All right. As we look at Supermicro right now, we're just above that 27 level that you highlighted here at 3026, we are down 3%, though, as you look more over the longer term, though, Rachel, what are you seeing here? I know we highlighted what's been happening in the short term, but I mean, as I look over the last 52 weeks, still down 42% for this name. Yeah. So I'm seeing the same thing as well in a lot of traders would look at these two timeframes of these charts and catch the fact that there is really not an alignment across timeframes here. So for traders that look for the highest probability setups, you're not you're not seeing this here. So over the daily S MCI is still sitting in a bearish momentum regime. It has carved out a higher high and a higher low. So far. I think the largest wall of resistance it's going to run into here is that anchored VWAP from former pivot highs. If price can really climb past that, around 32 bulls could easily be in control and see a move towards 5051 or so. I think the biggest thing for bulls right now is likely holding that gap from Wednesday, which is that little window from 26 to 2850. If that does, that window does close within a few bars. You could see price move down into those yearly lows again. All right. And then let's jump to your last one here, Tim. We're we're shifting into health care now looking at CVS. They've had some you know a nice trend to the upside as I'm looking. I'm not a technician. But take me through your thesis on CVS. Yeah. And first of all great job Rachel. Love both those breakdowns. You know this is one of those stocks that, you know, Ric always likes to pick on me because I call him the boring Stocks. And then he'll always say, oh, it's only up 100% in a year. But you know, most of what I do is short term, mid term. So like we look for the explosive stocks, but CVS just a nice trend and kind of going back to, you know, where I started, there's a lot of a lot of fear, trepidation, etc. in I, so I just like to kind of balance out the more speculative ideas with kind of what, you know, you'd call a flight to safety type play. So for people that aren't ready to, you know, dip their toes into a Google or an MCI because of what's been going on recently, I just like these charts that that just kind of trot along. And, you know, there's one of, I, I know I say it a lot on these, it's like, it's one of those stocks that at this point, you know, it's done no wrong. You just stay long. I just kind of expect to probably come next week. And you know, CVS will just be, you know, trotting along again. So just like to balance it out. And again, when people get scared, they go to the safer place healthcare, it's banks, etc. So. All right. Rachel, so as we, as we look at what Tim calls, or maybe I should say, Rick, even though he's not here to defend himself from this, one of the more boring names, as you look at the technicals here, are you seeing a similar argument for stay long because it's done no wrong. And CV in healthcare as a whole? Yes. In CVS the trend is your friend until it bends is what I would say here. So in the short term CVS has had stair steps higher with its uptrend. So it has a strong structural uptrend in place. Old resistance became new support at 106. Now if that cannot hold here it seems prices kind of fiddling around this level right now. If that can't hold, traders are going to look down at 102 and then the next level is 96 to the downside as those next levels of support, I would say in the long term, if we look at the last year of data here for CVS, it's been range bound for most of the year. It's broken out and has really been in a relentless uptrend. So we just see on the daily chart that price just formed a tweezers top right above that two 61.8% Fibonacci retracement. And which is a typical profit taking zone. And it's trading on that level right now. I would say if we look down below, momentum to the upside has been waning for the last couple months or so. You can notice that large MacD or large bearish divergence down there with the MacD there. So I would say traders may be of course maybe a little cautious. Use that as a little bit of a yellow warning sign or a profit taking sign as they're. But we still have not seen a break in the trend. So if price cannot hold this Fibonacci retracement level here, right around 107 or so, longer term investors will be eyeing that 200% Fibonacci right below down around 98, which we just saw that aligns with in the short term. All right. Right now though CVS seeing a move to the upside. We're up close to 1% at 107 82. Really appreciate you both. Joining us for big three tod