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Microsoft (MSFT) and Meta (META) were two of the biggest names reporting earnings on Wednesday. With the expectation that AI would be a prime revenue generator for both, it was estimated they would beat earnings estimates, and they did just that.

If you're going to be part of the Magnificent Seven, you better do something that's, well

As seasoned investors already know, the 24-hour news cycle can change markets quickly and swiftly. After weathering the tariff tantrum storm, downtrodden Magnificent Seven stocks are starting to look magnificent again thanks to U.S.-China trade deal news, but caution is always warranted.

Microsoft and the cloud computing sector appear to have sloughed off April volatility showers . The software maker has been rallying post-Q1 earnings.

Investment funds can move a stock in one direction given their vast amounts of capital to throw around. In the case of Microsoft, increased fund ownership could bring a bullish trend in the near future.

With 2025 in full swing, the first months of the new year will begin with a spate of earnings from companies that occupy a significant portion of the S&P 500, namely tech. That said, Direxion has a suite of single-stock exchange-traded funds (ETFs) to watch.

Market fluctuations this month are seemingly inevitable, which should pan out well for one options trader who bet $9 million on a September volatility spike. For traders who want to stay ready when trading the S&P 500 and big tech, they can use leveraged/inverse ETFs from Direxion.

Editor's note: Any and all references to time frames longer than one trading day are for purposes of market context only, and not recommendations of any holding time frame. Daily rebalancing ETFs are not meant to be held unmonitored for long periods.

As 1/7th of the vaunted “Magnificent Seven” that's been leading the way for market returns this year, Meta could continue to prosper with its investments in AI. That would give bullish traders reason to ride the momentum.

Microsoft Corp MSFT managed to stave off the Monday morning blues, poking its head above parity against Friday's close. On the other hand, semiconductor juggernaut NVIDIA Corp NVDA wasn't so lucky, slipping around 5% versus its previous end-of-session price.