Power Snapshots

April 5, 2024

Let's Start Here

Daily Power Snapshots are a new morning review of the sector and subsector data spreadsheets that we post from time to time. This 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.

Before we look at these individually, it helps me scan down the sheets and visualize what it’s saying today. If you do that, you can see the longer measures are coming off very strong readings working off some potential excess. At worst, you would say they are moving to a neutral position in most spaces. Short term measures, on the other hand, have been trying to make a little noise for the last week or two, but could gain control, so today they threw a fit; let’s see if it works for them.

Moving Average breadth is coming back in for most spots except commodities. Defensive subsectors still more pink than other areas.

The green we have seen for a while now, more notable where we are seeing pink. It is currently all in the CFG, so these areas are getting oversold in the short term. Depending on where the RSI is here, preferably over 40, but can spike and reverse down to 35 with dramatic candles (like yesterday). These are often just pullbacks in uptrends. A reversal of these levels can be worth watching for. 

Consumers continue to make new 10 day lows with a vengeance in both spaces, but Consumer Discretionary took more of the brunt. Broad selling, but not to the level of the buying we have seen for months, so we were due.

This snapshot actually surprised me. I expected a lot more pink and a little more red. We should note where the red is, but this is not nearly what I would have expected by looking at the price action.

Highs snapshot still have a couple of spots of concentration as they didn’t get them all today, and rarely do they. There is usually a place to hide in a big selloff, problem is it may or may not last more than a day or two, so if you decide to hop boats that quickly, make sure you can hop off just as fast.

This is often similar to the pressure gauges when it goes one direction or the other. Consumer Discretionary is definitely catching a lot of the lows right now, but outside of that sector I also expected this one to look worse and see a lot more red on the sheet. Maybe we get that today, but yesterday’s liquidation was just that one day. A new shot across the bow, let’s see if the buyers return fire, or will they relinquish control for a bit and take a break?

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!