Coinbase Up 9%, Tech Sells Off: What This Rotation Is Telling Us
TL;DR
Crude oil sliding, Super Micro getting hit, and Coinbase up nearly 9% — Thursday's pre-market is moving. Here's what the technical signals are showing before the bell.
“Crude oil sliding, Super Micro getting hit, and Coinbase up nearly 9% — Thursday's pre-market is moving. Here's what the technical signals are showing before the bell.”Click to post on X ▸
Where this fits in the Confluence Method
This lesson lives in the Stack step of the Confluence Method, where you confirm a key level, momentum and price action and structure before a setup qualifies as a trade.
Read the full method ▸Full transcript
5 sections0:00Good morning and happy Thursday, July 2nd. Crude oil futures are sliding into oversold territory. Super micro computer is taking a sharp hit pre-market and Coinbase Global is surging nearly 9%. A lot to unpack before the bell. Yesterday's session showed a clear rotation out of growth and into defensive adjacent and incomedriven names. Communication services led the board up 2.4% 4% with financials close behind at 2.18 while consumer discretionary added a modest gain. On the other side, technology dropped 2.57%, utilities fell over 1% and industrials also closed in the red. That kind of rotation can suggest traders were trimming high multiple tech exposure and parking capital in more interest rate sensitive or valueoriented verticals.
0:54Gold futures saw volume come in at 13 times their 20-day average, accompanying a modest 0.37% gain. That level of activity relative to the NOM signals significant market interest in the metal worth watching as a potential safe haven signal. Nike traded at 2.8 times its average volume while posting a nearly 5% gain, suggesting strong conviction behind that move. Though elevated volume alone does not confirm whether the momentum is sustainable.
1:27Crude oil futures dropped 1.88% and the automated technical signal here is flagging a breakdown with moderate strength. The RSI has fallen to 27 which puts price action in oversold territory. Historically a zone where momentum traders start watching for either a bounce or continued capitulation. Worth noting that volume came in at only a fifth of the 20-day average. So conviction behind this move is relatively thin. Super micro computer is down nearly 6% pre-market and the automated signal is pointing to a breakdown. The RSI sits at 40 which is on the softer side of neutral and the 50-day moving average remains below the 200 day, a configuration that technical analysts often describe as a bearish structural backdrop. Volume is running below average. So, the move is notable, but not yet backed by heavy participation.
2:21Coinbase Global is surging almost 9%, one of the bigger movers on the board this morning. The automated signal reads neutral here with an RSI of 47 sitting right in the middle of the range, not yet pushing into overbought territory despite the size of the move. The 50-day is still below the 200 day. So structurally, there is still ground to recover before technicals align with that kind of price action. Meta is up nearly 9% pre-market, trading at more than double its average volume, a combination that tends to draw attention from technically oriented traders. The RSI at 58 is climbing toward the upper end of neutral and if momentum holds, it may begin approaching levels. Technical analysts watch for potential resistance.
3:10The longerterm moving average picture still shows the 50-day below the 200 day. So, the structure is still rebuilding even as price pushes higher. Keep an eye on how that tech rotation holds as the session opens. And as always, let the levels and the data guide the conversation. This video is for educational andformational purposes only and is not financial advice. Markets are risky. Do your own research and consult a licensed financial professional before trading.
