OVERVIEW
Berkshire Hathaway Enters New Era as Buffett Hands Off Leadership 🧭

As Warren Buffett received a standing ovation at Berkshire Hathaway’s annual meeting in Omaha, attention turned to the company’s future. After more than six decades at the helm, Buffett is stepping back, and his successor, Greg Abel, will face the task of leading one of the world’s most admired financial empires during a period of economic uncertainty.

Berkshire is sitting on a record $350 billion in cash, the result of net stock sales over the past 10 quarters. Historically, Buffett has deployed capital strategically during periods of market stress — from sidestepping the dot-com bubble to bailing out banks during the financial crisis. With rising economic turbulence and signs of deal-making slowdowns, the company may soon face similar opportunities.

While Abel will now be in the spotlight, Buffett’s disciplined investment style and long-term philosophy continue to guide the company’s strategy. Shareholders will be watching to see how Berkshire handles the cash pile, given the company’s ongoing struggle to find attractively priced acquisitions. Buffett has long resisted overpaying in frothy markets, a strategy that has often paid off when others faltered.

There are also questions about how Berkshire will maintain its decentralized culture — one that allowed its many subsidiaries to operate independently, attracting business owners who valued autonomy. Abel has signaled a commitment to that philosophy.

Berkshire’s next chapter may look different without the “Oracle of Omaha” at the forefront, but the company’s foundation remains strong — shaped by decades of conservative investing and a reputation for trust. Whether Berkshire can match its legendary past in the hands of its next leaders remains to be seen, but the blueprint is there.

MARKET
This Week’s Earnings Are Crucial

Markets are kicking off a crucial week under the spotlight, with traders bracing for a flurry of major developments. Over the weekend, former President Donald Trump made headlines after floating the idea of imposing a 100% tariff on foreign-produced films—though no specifics were provided on how such a policy might take shape.

This comes on the heels of the S&P 500 closing out its ninth straight winning session on Friday, marking its longest rally in two decades. The recent surge in equities has been fueled by growing optimism that trade agreements may be on the horizon, with signs that China is warming to the idea of renewed negotiations. Trump added to that momentum by suggesting that new trade deals with some countries could materialize as early as this week, and reiterated that he's open to easing tariffs on China eventually—again, without sharing concrete plans.

Meanwhile, attention now shifts to this week’s Federal Reserve meeting, where policymakers are widely expected to leave interest rates unchanged—a stance currently priced in with 96% probability, according to CME’s FedWatch tool. However, what Fed Chair Jerome Powell says in his press conference on Wednesday could move markets significantly, especially in light of the recent public tension between Powell and Trump.

Nasdaq

The Nasdaq wrapped up last week on a strong note, with the QQQ closing comfortably above its 200-day EMA—a major technical milestone and the first time it's reclaimed that level in 2025. This breakout caps off one of the strongest two-week stretches we’ve seen in equities, driven by an aggressive recovery and powerful earnings beats from key tech leaders like Microsoft and Meta.

Momentum has clearly shifted back in favor of the bulls, but in the short term, we’re starting to look stretched. While QQQ is trading above its point of control (POC), there’s still overhead supply to contend with, and we’re heading into a week packed with catalysts—including the Fed’s interest rate decision on Wednesday.

Given the technical extension and the macro events ahead, it wouldn’t be surprising to see the Nasdaq cool off slightly or consolidate over the next few sessions as the market digests this recent run-up.

S&P Midcap 400

One of the more notable developments over the past two weeks has been the outperformance of midcap stocks, with relative volume actually accelerating—a stark contrast to what we’ve seen in large caps like SPY and QQQ. This shift is more than just noise; it's a clear sign that risk appetite is returning, especially for more speculative and previously beaten-down names.

When capital begins to rotate into mid- and small-cap stocks, it's often a sign that market sentiment is improving beneath the surface. Investors typically move into these riskier areas only when confidence in the broader market outlook begins to build. After months of fear-driven, defensive trading, this behavior points to a potential character change in the market—one where buyers are no longer just hiding in safe havens, but are starting to reach for broader opportunity in what is clearly a very impressive development in risk assets.

Russell 2000

Small caps are starting to follow the same bullish path as midcaps, with IWM and MDY both breaking above their point of control (POC) on Friday and clearing their declining 50-day EMAs. While these segments still lag behind large caps in terms of performance relative to key moving averages, that underperformance is not unexpected—small caps naturally carry more volatility, and institutional investors tend to hold large-cap names more consistently than speculative growth plays.

What stands out most is the growing alignment across all major equity segments—large, mid, and small caps are beginning to move in sync. This type of broad-based accumulation is one of the strongest technical signals that market participation is deepening, not just being driven by a handful of names.

It’s still early, but the symmetry we’re seeing here supports the idea of a healthier, more sustainable market recovery.

WATCHLIST
You Cannot Ignore This Stock

AEVA: Aeva Technologies, Inc.

• AEVA is a name we've had on our radar for several months now, as it continues to form a textbook Stage 1 base on the weekly chart—a process that’s been unfolding since May 2023. This long-term consolidation signals a stock that’s been under quiet accumulation, and that may now be preparing for a significant breakout.

• We saw a major shift in March following AEVA’s standout earnings report, which triggered the highest volume surge in the company’s trading history. That move marked a clear change in character and brought the stock into focus as a potential high-conviction setup.

• Since then, AEVA has been consolidating tightly just below its breakout zone around $7.80, with linear, low-volatility pullbacks on the daily chart. It’s holding its rising 10- and 20-day EMAs, which signals strong demand and a healthy base structure. This is exactly the kind of setup we look for—tight action following a powerful breakout attempt on a major change in demand for a beaten down stock.

We Really Need Your Help! 🫵

We’re traders too, so we understand how important it is to have the best tools and resources. That’s why we’re committed to giving you the best experience possible with Swingly.

But we can’t do it without your feedback! Please take just 30 seconds to share your thoughts in this quick survey. Let us know what’s working, what’s not, and how we can make Swingly better for you.

We promise—we’re listening, and we’ll make real changes based on what you tell us. After all, we’re in this together.