Consider buying the dip on Alphabet (GOOGL) to capitalize on the post-earnings sell-off, as high capital expenditure concerns are likely a temporary overreaction. Target Micron Technology (MU) as a powerful semiconductor momentum play while it approaches the critical $1,000 price milestone. Exercise caution and avoid rushing into Tesla (TSLA) given its sharp 8% to 14% drop, negative free cash flow, and margin compression. Monitor ServiceNow (NOW) for stabilization after volatile post-earnings price action filled its gap in a difficult macro environment for software stocks. Finally, investigate Thermo Fisher Scientific (TMO) for potential short setups if its aggressive 6% to 9% rally proves to be fundamentally unsupported.

Alphabet / Google (GOOG, GOOGL)

• Down significantly during the session (dropping around 5% to 8%, near 323 or lower depending on the ticker class), experiencing a sell-off following earnings results where they raised capital expenditure (CapEx) guidance. • The speaker notes that the market is currently reacting negatively to increased spending, drawing capital through major chip players (like Micron, NVIDIA, SK Hynix, and Samsung) via a circular ecosystem involving investments like Anthropic. • The speaker maintains a bullish stance, explicitly stating "I'm long Alphabet," believes the drop will flatten out or rally by the end of the day, and expects that "it'll be back, it always comes back."

Takeaways

• Consider a long position or buying the dip on Alphabet (GOOGL) if you share the thesis that the post-earnings sell-off due to high CapEx is an overreaction and that the stock will recover. • Monitor market sentiment regarding big tech AI spending, as heavy capital expenditure cycles are currently triggering short-term volatility.

Micron Technology (MU)

• Trading exceptionally strong, up around 50 basis points to 3% during a down market, pushing toward the $1,000 price milestone (trading around 994 to 997). • Benefiting significantly from the ripple effects of heavy capital spending and CapEx boosts by mega-cap tech companies like Google. • The speaker highlights Micron as a top-performing semiconductor play, noting its immense strength amid broader tech sector fluctuations.

Takeaways

• Look at Micron (MU) as a strong momentum play in the semiconductor space, especially with institutional capital expenditure flowing heavily into chip infrastructure. • Watch for the psychological and technical resistance level around $1,000.

Tesla (TSLA)

• Experiencing a massive sell-off, dropping between 8% and 14% during the session following earnings. • Pressured by an earnings miss, sliding margins, negative free cash flow, and high spending allocations directed toward AI, Optimus, and robotaxi programs, compounded by broader market pressure on growth names. • The speaker describes it as getting "shellacked on bad earnings" and notes it as one of the day's biggest losers.

Takeaways

• Exercise caution with Tesla (TSLA) given the sharp downward momentum and margin compression driven by heavy long-term project spending. • Evaluate whether the current pullback offers a long-term entry or signals deeper near-term correction risks as the market penalizes high capital burn.

ServiceNow (NOW)

• Showed high volatility around earnings, initially spiking up 5% before experiencing a sharp reversal and heavy dumping that filled the gap. • The speaker notes a short-term trade: covering an initial short position and flipping to go long after observing the intense price action and gap fill. • Highlighted as part of a difficult macro environment for SaaS (Software-as-a-Service) stocks.

Takeaways

• Approach the SaaS sector with care due to prevailing negative environment sentiment and choppy post-earnings price action. • Monitor ServiceNow (NOW) for technical support levels following sharp intraday reversals and gap-fill events.

Thermo Fisher Scientific (TMO)

• Traded up around 6% to 9% during the session, showing wild, aggressive upward movement that caught the speaker's attention. • The speaker mentioned a small short position as a "random attempt to make some money" and expressed interest in doing further fundamental work on the stock to evaluate potential short setups.

Takeaways

• Investigate Thermo Fisher Scientific (TMO) for potential overvaluation or technical exhaustion if the sharp rally disconnects from underlying life sciences growth metrics.

SpaceX (Private)

• Mentioned as essentially flat to positive during the broader market pullback, described casually by the speaker as "a gift that keeps on giving." • The speaker cautions investors not to overstay their welcome or fight the momentum too aggressively when dealing with Elon Musk's ventures.

Takeaways

• Treat private exposure or related sentiment around SpaceX as a resilient asset class during broader tech market sell-offs.