The Big 3: AAPL, PLTR, WMT

0:00it's time for the big three. We've got three stocks, three charts, three traits for you today, Rick DuCat. Of course, we'll take us through the charts. Here to take us through the trades Jason Brown stock market expert at the Brownreport.com and the author of Five Year Millionaire. Jason, great to have you with us. I want to dive right in to your first pick here in the big three today. You've got a Big Mag 7 name to kick us off today. You've got Apple trading lower, you know, with the market, kind of a similar move, actually a little bit more significantly than the NASDAQ this morning, but take us through this pick in Apple. Yeah, Marley, always good to be here. The first thing that I like about Apple is it's in a good position relative to the narratives that are on Wall Street right now around oil, around war. And if you also look at the other side in the tech space, most of the tech companies are getting beat up over the catbacks that they're spending to expand their AI capabilities, data centers, etc. Apple is not really in the middle of either one of those. And now that kind of the tariff fight is tampered down a little bit.

1:01You're just left with a great company that makes a great handset. But more importantly, when you look further out, they still haven't capitalized or rolled out their plans with AI yet. So you still have that potential boom and partnership. What it looks like it may be with Google or they may allow you to choose what operating system you want to run your AI on on their platform. And then also we haven't had the Siri refresh. So when you think about upward momentum, they still have a couple of tricks up their sleeve, if you will. And then there's also a rumor that they might come out with a foldable phone, whether they do or not. They're outside of the narrative of oil and war, outside of the narrative of AI CapExpinin. And then they have a few things that can boost phone sales and boost subscriptions and user interaction with their devices. So I like Apple right here right now. All right, we like Apple right here right now, Rick, as we take a look at the chart for Apple, you know, I'm not a technician, but I see a little bit of a stair stepper that sort of fell apart here. So take us through what you're seeing in terms of the technicals. Not completely fallen apart yet, but a bit of a decline. Yes, a curious laggard in this AI field

2:06so far. What we do look at our chart, what we see is more of a consolidation sideways movement here, but a rather wide range at the same time. So more recently, we had this kind of triangular shape between our two blue lines, one starting here at our old highs, connecting these subsequent highs, another starting at these relative lows and a connecting these further lows here. But we've broken through to the downside. Now we find ourselves in a situation where the 255 level stands out a frequent stopping point for price and one that most recently proved supportive again here, 246 as well, a gap and a repeated low point here, stands out as a possible supportive area if we were to make another move lower to the upside to 65. Similarly, a repeated low point, a range bound floor during this period here, a breakdown point, and then a bit of fluctuation around that level as well. So those would be some areas to consider a trading plan for this particular name. Now we see our moving averages. Again, paint a picture of kind of sideways drift. Our three

3:09shorter moving averages are all consolidated together around 260 roughly. So this gives us a bit of a confluence point to be on the lookout for for a potential upside breakout or an upside resistance ceiling if that was more your view. We can also see that RSI has crossed below our 50 midline, our downward sloping red trend line is still in play RSI making a new low along with price. So that being said, the 251 day EMA and Orange near about 247 stands out as a downside potential foothold there. So when we look at volume profile, the heavy trading concentration areas, we're in the thick of one here, between about 253 to 260 up here around centered around like 270, 275 roughly, things pick up once more, and then things really drop off below 250. Another pocket stands out right here near about 240 or so. All right, Jason. So some of those levels that Rick just highlighted 250 came up several times. Do any of those come into play here when we look at

4:10trading Apple? Yeah, absolutely. So first, I want to delay the case while like the company. Now, when you switch over to thinking about being a trader in this market, you want to put yourself in a position where you win no matter what. And so I'm looking at the covered put May 15th for raises, we're talking about 60, so plus days, the 250 strike price, what stands out is it gives the room the stock room to fall another $5 from where it's at right now, but you're going to bring in a credit of about at when I initially looked at a 950, but about 1050 right now. So you're getting on average a $10 credit, which means if you get the stock put to you, you're actually buying it at 240, which gives you another $10 of downside cushion, which should be the second level of support, you own a good company. If you have to own it, you also get paid to dividend to wait, and then you can turn around and sell cover calls against it. So I like being in a position where if it goes against me, I got a cushion, and then I get out of this count. I got another $10 cushion, and then I have a strategy if I get put a stock that I don't mind holding like Apple.

5:10All right. So we don't mind holding Apple. Let's take a look at this next one here. We've got Palantir. They've had quite a few headlines of late, you know, take us through why Palantir is in your bank three today. Yeah. So Palantir is one of the companies that stands out from a growth company from AI. They're not necessarily spending money on CapEx. They're just deploying the software that the government needs and the commercial space needs. If you look at their track record recently, they had nine consecutive quarters of profitability. They had five quarters in a row, where they beat on top and bottom line of earnings, and then they're deploying the AIP platform, which basically is telling companies that they don't have to rebuild or tear down the infrastructure that they have. Palantir can come in and layer their software or build custom software on top of what you already have, which is appealing to the commercial customer, and also that's their fastest growing segment outside of the government space. I know Rico walked through the technicals, but the stock recently pulled back from, I think roughly the one down to like the 150 level

6:14after earnings, and so you have a pretty decent upside from where it's trading at right now to where it can go. Yeah, and you're today, you know, they are negative on the year. The last month, though, have been performing better up about 18% in the last 30 days. So Rico, as we look at the technical setup here, you can see that that earnings drop off that Jason was just mentioning there, but what's the setup here? A unique company because of its involvement with the government and its rather kind of unique product that it makes, but also held up the best out of the software sector here for the most part. 207.52 was one of our high points here. From there, we've fallen on more than 26%. So now we can see here, we had a downward sloping trend line that prevailed after the earnings event. Actually, we did, we did hit 150, but then one is low as 130 all the way down here, which matches up with another old high area of prior resistance, which then became support. So we held on at an important point. Now we've had a bounce once again here. The 148 level stands out

7:15this time. Old highs, subsequent lows, another major low here and here. Now we're holding on for now. 169 to the upside, a gap level here, and a frequent low point for price and then subsequent high points. So you look back and you see these, these numbers kind of come back into focus over and over again. So that makes them stand out more as possible sources of support or resistance. Moving average, starting to improve, it seems like the trend is starting to accelerate somewhat here, but we have yet to make a convincing break above our gold 63 day EMA near about 156 RSI, meanwhile kind of trailing off still above the 50 midline, but our trend line has been broken. So when we do look at the volume profile study, here we can see we are in the midst of this node between about 150 to 160 to the downside. Things pick up again near 140 upside point of control, heaviest trading area of all centered around 181. All right, and Jason, as we look at Palantir here, you know, I've seen a lot of arguments that this could be a potential longer term play

8:17here. Do you have a long dated trade for Palantir? Or is it a short term play? It's a longer term play. I think as a trader, especially in this market with the volatility, you got to ask yourself, what direction do you think the stock is going? But the reality is, we don't know in what time frame. So you need to give yourself enough time frame so you're not stressed out. So I'm looking at the March 19, 2027 call options, just 372 days. The 140 strike price is going for $45. What I love about that is your break even has 185, which means if Palantir doesn't have to even get back up to the top where it was at 205. But if it gets back to 185, which is still 20 points below that, you'll be in a profit from an intrinsic standpoint, you'll break even, and then with any time left, you'll be in a profitable level. As always, you want to arm wrong level in there. If the stock breaks down below 130, we might have to take a small loss or at least add some put options for protection. Yeah, and right now we're, you know, 20 plus dollars above that 130 level, where 153, 26 with a 1% move to the upside today for Palantir. Now your last pick is the king of

9:20retail. We're talking about Walmart here, the leader of consumer staples. You'll take us through this one. Yeah, so consumer staple is just a nice one to have in your back pocket again when there's fears of war, fears of inflation. We're always going to need to pace deodorant groceries and Walmart is the king of that. Obviously they own Sam's Club as well. And so it's never a bad thing to look at a consumer staples to have as protection against the broader market or broader tech sell-offs and things that are going on with oil. What I like about Walmart is it pulled back to the 50 day move in average, which we've seen the stock bounce several times. If you look at their, their books are the most recent earnings, a couple of things that stand out. Number one, global advertising was up 37%. So they're showing you that they're monetizing outside of people just coming into the store and buying physical products. And then also e-commerce was up 27%. They raised their dividends to 99 cents. So you're almost getting a dollar dividend. So that's also going to attract

10:21some of the dividend buyers who like to buy and hold the stock versus the traders who want to trade in and out of it. So fundamentally the company's solid. I think the story around it is solid. It's in a nice uptrend. You're getting it at a pullback to the 50 day move in average and it's protection against the broader market. Yeah. And Rick, we have seen that pullback over the last month. You know, trading about 7% lower here. And I can see, I know you had your upward sloping channel and now we've got a separate line here. So take us through the technical performance you're seeing from Walmart. I got to say if you didn't tell me the name of this chart, I wouldn't have guessed it was a consumer staples chart. We're up almost 46% on the year. So Walmart really seeing a nice year here. We have had a bit of a pullback though 135 is around where we topped out here. Our shorter term trend line now in white is still in play after our blue channel as you said has been broken. But for now, support still hanging on here at these old highs, 121 has become our new low, a similar ceiling here near around 129. So 121 to 129 stand out

11:22as short term levels to watch out for here. We can see that our moving averages up here consolidate near about 124, 125. Meanwhile, RSI and the verge of a breakout. So if we do get this push above this resistance confluence, watch for RSI to follow suit, break the trend line and break the 50 midline for further bullishness here. Volume note up here, 125 to 130. That's the place to watch for a price to break out of to the downside about 115 to 120 is a similar note. All right. And Jason, as we look to trade Walmart with some of those moves that Rick just highlighted there, how would you approach this one and how long you hold it for? Yeah. Now similar to Apple, you could do a covered put and be willing to buy the stock. But in this strategy, I'm looking at a long call out to January 15, 2027, 309 days. I know I like to send that out far, but the reality is as a trader, most of them blow up their account because they don't give themselves enough time. I'm looking at the 100 strike price for a cost of $30 a contract.

12:25You got a 130 as your break even as Rick noted the high that it pulled back from was around 135. So we don't even need to get back to the 52 week high. Just getting back to 130, you'll be intrinsically in the profit and then any, well, intrinsically, you'll be at the break even and then any time left will be your profit. For the I'm wrong level, we want to watch for any further breakdown below the 50 day moving average. I think it's going to hold. But when you send it out that far, it can't, you can give it a little bit more wiggle room if it breaks the 50 day moving average. You could give it three to five bucks. Long term, it's in a beautiful uptrend. You would have mistaken it for a tech stop. Like Rick said, you wouldn't have guessed that it was a consumer staple. No, a very interesting chart for a consumer staple. But, you know, Walmart trading higher on the day despite the markets being more broadly down up six tenths at 124. 22 Jason, we appreciate you being with us for big three today bringing those picks to us. Jason Brown's Doc Market Expert at the Brown report.com and of course the author of five year millionaire and Rick DuCat, our lead market technician for always breaking down the technical