5 Trade Ideas For A Worn Out Market

Markets are intense with economic and geopolitical forces driving significant volatility. Inflation numbers came in below forecasts, but the market largely shrugged them off due to selling pressure tied to escalating U.S.–China tariffs. Add to that the upcoming earnings reports from major financials like JPMorgan, Wells Fargo, and BlackRock, and traders are gearing up for dramatic moves. Here’s my breakdown of five setups for Nvidia (NVDA), Alibaba (BABA), Tesla (TSLA), Apple (AAPL), and the leveraged Triple Q ETF (TQQQ).

As always, these are ideas, not recommendations, trade at your own risk with proper stops and size management.

Market Insights and Catalysts

1. Inflation Data: Better-than-expected inflation numbers failed to calm markets, with downward pressure dominating early trade.

2. Tariff Worries: U.S.–China tariffs hit a record 145%, doubling reciprocal duties, overshadowing any positive economic news.

3. Expanded Ranges: Volatility has stretched intraday ranges, providing opportunities for patient traders to capitalize on retracements or continuations.

4. Financial Earnings: Reports start tomorrow, all eyes on how JPMorgan and others guide for future market direction.

1. Nvidia ( $NVDA ( ▲ 1.67% )  ): Gradual Downside Amid Expanded Volatility

Key Levels:

• Resistance: $109

• Support: $104

Trade Idea:

• Bullish: Long near $104 support, with a target of $106-$107 on a retracement move. Confirm strength before entering.

• Bearish: Short on a failure of $106 or near $109 resistance, targeting $104 and $100 on extended downside momentum.

Nvidia has been orderly despite wide ranges. Watch price action at support ($104) to determine direction, either mean reversion or continuation to new lows.

2. Alibaba ( $BABA ( ▲ 0.8% )  ): High Attention ADR with Volatility Signals

Key Levels:

• Resistance: $106-$107.50

• Support: $101.50

Trade Idea:

• Bullish: Long above $101.50 on mean reversion to $103-$105. Be cautious; the trend is still overwhelmingly bearish.

• Bearish: Short at $106-$107.50 resistance, scaling down profits toward $103 or lower.

Alibaba continues to face heavy downside pressure. Trade small and only after strong confirmation due to high volatility.

3. Tesla ( $TSLA ( ▼ 1.09% )  ): Expansive Ranges with Clear Levels

Key Levels:

• Resistance: $260

• Support: $240

Trade Idea:

• Bullish: Long at $240 support after confirming buy-side signals, targeting $250 or above for scalp setups.

• Bearish: Short below $260 resistance with a tight stop, aiming to test the $250-$245 area.

Tesla is emotional and tends to overreact in both directions. If positioned well, wide ranges like these can be used for scalping intraday moves.

4. Apple ( $AAPL ( ▲ 0.42% )  ): Resistance at $193 and Support at $183

Key Levels:

• Resistance: $193

• Support: $183

Trade Idea:

• Bullish: Look for a long if Apple consolidates near $183 support, targeting $185-$187 for short-term gains.

• Bearish: Short near $193 resistance if the upward momentum fails, with downside targets of $190 and $188.

Apple has been showing relative strength, but the broader market sell-off has taken its toll. Use confirmation near these key levels to determine entry.

5. $TQQQ ( ▲ 2.3% ) : The Nasdaq Volatility Proxy

Key Levels:

• Resistance: $47.50

• Support: $41

Trade Idea:

• Bullish: Buy at or above $41 support if momentum builds, aiming for $44-$45.

• Bearish: Short near $47.50-$48 resistance if weakness persists, scaling profits back toward $43 or lower.

TQQQ remains a favorite for traders navigating Nasdaq volatility. Give the opening range 30-60 minutes to establish a trend before jumping in.

Final Thoughts

Markets are highly reactive to both macroeconomic data and geopolitical developments. While inflation and earnings provide the backdrop, volatility is being amplified by tariffs and bond market fears.

Pro Tip: Trade what you see, not what you think. Let setups come to you and always manage your positions with tight stops, given the unpredictability of this market.