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Morning Dose #204: Tech Sector Battle Meta Surges, Microsoft Sinks – Thursday 1/29/2026

By WaveRider AI1 min read

Key takeaways

  • Market sentiment remains generally positive despite Microsoft’s drag. Watch for shifts around the SPY support level at 696. Exercise caution and adapt trading strategies based on unfolding events.

Morning Dose: Tech Sector Battle Meta Surges, Microsoft Sinks

A quick analysis of today’s market outlook and key trading opportunities to start your day.

Intro & Market Mood

Welcome to The Morning Dose! Everything You Need to Know Before the Market Opens. Today’s market is shaping up to be a battleground in the tech sector with mixed signals and high volatility.

Overnight Headlines

  • Meta Platforms (META): Gapping up nearly 9% in pre-market after beating earnings per share and providing strong first-quarter guidance.
  • Microsoft (MSFT): Down almost 7% pre-market despite beating earnings and revenue, as soft guidance, especially in cloud services, disappointed investors.
  • Tesla (TSLA): Up about 2.5% after beating EPS and reassuring traders with product pipeline updates.
  • AI Investment News: Nvidia, Microsoft, and Amazon planning to invest $60 billion in OpenAI, keeping the AI trade active.

Economic Announcements

Jobless claims and trade balance data coming at 8:30 Eastern could influence the bond market and yields. Political risk is slightly reduced with a potential deal to avert a shutdown in Washington.

Earnings Highlights

  • IBM (IBM): Up over 8% on solid beat.
  • SAP: Down over 14% leading to software sector weakness.
  • ServiceNow (NOW): Gapping down 9% despite a beat, reflecting high expectations for software companies.

Top Movers

Energy sector (XLE) showing relative strength and steady volume, potentially a safe haven amid tech sector volatility.

Quick Trade Ideas

Avoid chasing gaps. Monitor Energy sector for stability. Stay nimble and set strategic stops.