Power Snapshots

April 10, 2024

Let's Start Here

Power Snapshots will be part of the elite memberships and will hit your inbox early for your daily preparation. These quickly show where each segment stands on the long, intermediate and short-term views from breadth and momentum perspectives. Also, keep an eye out for the weekend version where we put each snapshot for the week in a carousel so you can see how things changed as we progressed through the week.

This space, like most others, improved yesterday despite all of the “this is it” calls during the morning drop. Real Estate and Utilities were the most noticeable improvements.

So many sectors remain above the Number (Andrew’s moving average amalgamation) which is the middle red line in the MA bands. We also see a large swath of subsectors on Nitrous still with the Financial sector finally joining after the leading subsectors in the sector have been there for a week or more. A couple Utilities fired as well.

The day itself was a slugfest by both sides, but in bull markets buyers usually come out on top at the end of the day, literally. Last hour is when institutions usually do their buying and can quickly change the daily narrative once they come in. It was a chop day, but you can see sellers aren’t aggressive enough yet to push things over.

Buyside pressure again once we got to the bell. Only two subsectors, Insurance and Aerospace & Defense, were sold going into the close while many more were bought on the day. Real Estate stood out today with some strong buying pressure in the face of CPI this morning. That doesn’t show a lot of fear of numbers being too hot; or maybe it’s telling us that even if they are hot, it’s priced into this space already since it has lagged most of this rally.

The three that might be seeing a change of character here with some strong new highs readings were Real Estate, Communication Services and Utilities. Overall, new highs are still trouncing new lows.

The new lows seem to be disappearing again from a broader perspective. There are still a few pink spots, but not what the bears want to see. I would keep an eye on the Insurance data here, it was a leader early and has been slumping within the sector, so you might want to check any holdings there to see if the charts are still sound. As much as I am hearing about the deterioration, I am not seeing it in that light yet. It looks more like a skirmish for short term control, but there is no doubt, the bulls are marching forward on the larger battlefield this year. I am open to a larger correction, but it’s not in this data yet. I am also open to rotation that keeps this thing grinding and frustrating everyone along the way.

A quick review should help you find where money is flowing and get to your fishing lanes for the day a little faster. To dive deeper into any particular space, just go back up top to the menu you can get to any sector or subsector from there!

This information is for educational purposes only and is not a recommendation.  Please see the full disclosure in the footer.

As always, I hope this helps!