šŸ§Ŗ MSFT Global Chaos

Plus: NFLX Flatlines

Good Morning!

Microsoftā€™s outage grounded flights, halted banking services, and silenced broadcasters, causing stock drops for both Microsoft and CrowdStrike. Meanwhile, Netflixā€™s flat quarterly revenue left traders unimpressed, and Trumpā€™s potential move to declare Bitcoin a strategic reserve asset is stirring speculation. Don't miss my future predictor video ā€“ an indicator you canā€™t afford to ignore.

Letā€™s get into it šŸ‘‡

šŸŒ” Market Temperature Check

šŸ“° Whatā€™s Happening Today?

MSFT and CRWD Blackout Causes Global Chaos

If you were trying to log into your bank, catch a flight, or even watch TV, you might have noticed things going haywire. A massive Windows failure has caused chaos worldwide, grounding flights, halting banking services, and even silencing broadcasters.

  • Flights grounded: Airports worldwide have been hit, with low-cost U.S. airlines particularly affected.

  • Banking services down: Customers couldnā€™t log into online banking services, making transactions impossible.

  • Broadcasters off the air: TV and radio broadcasters were forced off air, leaving audiences in the dark.

Early reports point to a possible issue with a cybersecurity firm, CrowdStrike, due to a flawed update. Adding fuel to the fire, there's also a separate Azure cloud outage that's making things worse, especially for air travel.

CRWD Holding Up Global Cybersecurity

Microsoft and CrowdStrike Take a Hit

With such widespread disruption, itā€™s no surprise that the stock market reacted quickly. Both Microsoft and CrowdStrike saw significant pre-market drops as investors processed the news.

  • Microsoft (MSFT): The tech giant's stock fell 1.8% in pre-market trade, driven by outages in its Azure and Office365 services.

  • CrowdStrike Holdings plc (CRWD): Shares dropped 14% pre-market as the company's role in the outage became clearer.

CRWD During Premarket

These movements reflect concerns about more than just technical glitches, suggesting deeper vulnerabilities in critical systems.

Whatā€™s Next?

As we try to make sense of this mess, here are some important points to keep in mind:

  • Reliance on tech giants: This incident highlights how much we rely on major tech firms for essential services and the risks that come with it.

  • Cybersecurity scrutiny: With CrowdStrike's software under the spotlight, expect more focus on cybersecurity measures across the board.

  • Market volatility: The sharp drops in stock prices show just how sensitive the market is to tech disruptions. Investors should be prepared for more ups and downs as the situation unfolds.

Stay tuned for more updates as we keep an eye on the aftermath of this massive blackout. Itā€™s clear that systemic risks in our digital infrastructure need serious attention.

šŸ“ˆ What Iā€™m Trading

Sherlock's Take on ETH

Our in-house crypto detective, Sherlock, has some spicy insights on ETH that you won't want to miss. With the Ethereum ETF going live on Tuesday, everyone's buzzing. But hold up ā€“ Sherlock's not jumping on the hype train just yet. Let's break it down.

Sherlock just pinged us about 16 different altcoin setups. But guess what? Heā€™s holding back. Why? Itā€™s all about ETH. Despite the bullish vibes around the ETF launch, Sherlock's reading the charts with a critical eye. The price is bouncing off support, but those bounces are shrinking ā€“ not exactly a great sign.

Sherlock's strategy? Place limits. If we see a big dip, thereā€™s likely going to be a quick rebound.

Strategic Entry Points

Missed the initial ETH surge? No worries. Sherlock's got you covered.

He suggests setting your buy limits between $3255 and $3240. Why? This range is loaded with confluences: higher timeframe Fibonacci levels, untested support, and dynamic support lines on the 4-hour chart.

If the price dips before the ETF launch and takes out some overzealous buyers, you could snag ETH at a prime entry point. Donā€™t sleep on this one!

The ETF Effect

The Ethereum ETF going live is a huge deal. It's expected to attract a lot of institutional money, potentially driving up the price. But as always, the market could see some volatility before stabilizing.

This is why Sherlockā€™s advice is golden ā€“ patience and precision can lead to a solid buy at a lower price point, maximizing your gains when the ETF impact truly kicks in.

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āœ TL;DR

Microsoft Outage:

  • Grounded flights worldwide, particularly affecting low-cost U.S. airlines.

  • Halted online banking services, preventing customer transactions.

  • Silenced TV and radio broadcasters, leaving audiences in the dark.

  • Stocks:

    • Microsoft (MSFT): Dropped 1.8% in pre-market trade due to Azure and Office365 outages.

    • CrowdStrike (CRWD): Fell 14% pre-market as their flawed update possibly caused the issues.

Stay ahead, stay informed, and most importantly, stay profitable.

ā€˜til next time,

TradingLab