Sink or swim.

Tech earnings this week will either sink the market or give it enough support to overcome near-term trade tension concerns. It's really that simple.

Investors have plowed into tech stocks, so any more tepid quarters like the one from Netflix (NFLX) may trigger the mother of all selling waves. "Long FAANG+BAT" (53%) remains the most crowded trade identified by investors for the sixth straight month and most crowded trade outright since "Long USD" in January 2017," wrote Bank of America Merrill Lynch strategists.

TheStreet's tech columnist @EricJhonsa has everything you need to know ahead of Alphabet's (GOOGL) earnings after the closing bell on Monday. A selling wave in tech stocks could benefit the banks -- I will argue in a new piece on TheStreet hitting later Monday that bank valuations are too darn cheap.

Meanwhile, a strong case could be made to own at least three of the FAANG (Facebook (FB) , Apple (AAPL) , Amazon (AMZN) , Netflix, Alphabet) stocks even if second-quarter earnings underwhelm in any way. By underwhelm, think 40% growth in one line item instead of 41%.   

Rewind 

One of Sergio Marchionne's greatest achievements: the resounding success that is the Ferrari (RACE)  initial public offering.

Wall Street has sent the supercar maker's stock up an impressive 148% since the company went public in late October 2015. For Ferrari, its public company success under Marchionne -- who was replaced as CEO of Fiat Chrysler (FCAU) and Ferrari over the weekend due to complications from a recent shoulder surgery -- can be boiled down to an expanded product line and the rising wealth effect among consumers.

Marchionne told me in October 2017 that he viewed Ferrari as a lifestyle brand. In turn, he used that lifestyle brand positioning to push Ferrari into new autos (see the GTC4Lusso "hatchback") and into various merchandise. Louis C. Camilleri, a long-time Phillip Morris (PM)  executive and Ferrari board member, will replace Marchionne as Ferrari's CEO.

Around TheStreet

In the debut edition of our newest weekly column, "The Tech Skeptic," tech reporter Annie Gaus dove into the celebrity nature of Tesla's (TSLA) Elon Musk. Imagine if Musk just focused on running his company instead of tweeting at midnight.

Meanwhile, in our latest "Dumbest Thing on Wall Street" column, Taylor Rogers and Katherine Ross served up a reminder to all investors: Do your homework. The column stemmed from investors who were burned by Papa John's (PZZA) John Schnatter's borderline public meltdown. Papa John's said Sunday night it enacted a poison pill to prevent a Schnatter-led takeover of the company.

General Electric (GE) still has one big concern from the ghosts of business past, wrote our Anders Keitz after talking with Chief Financial Officer Jamie Miller last week.

Fresh off a very successful IPO, Tilray (TLRY) CEO Brendan Kennedy tells me how he got into the cannabis business. The lesson: Know when to spot an opportunity.

Toymaker Funko's (FNKO) stock has skyrocketed 111% inside of three months. Here's what CEO Brian Mariotti told me on the latest "Jolt" podcast about the stock price, and coming Fortnite toys.

 

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