Power Snapshots

May 14, 2024

Power Snapshots is getting an upgrade. From here on we will have the carousel everyday so you can get an idea of how the flow has gone for the previous 5 days. As an added effect, if you don’t expand the charts, but instead use the arrow on the right side to move it forward, you will see each day morph from one to the other giving even more detail to the changes as they happen day to day.

After the outage, we will have to work through a couple of blank days this week. 

The day ended flat to slightly higher, but well off the highs after a strong start to the morning. Not strong, but also sellers couldn’t push things into the red. We are in resistance zones of different sizes across all three of the indexes after a multi-week rebound. RSIs are teasing bull ranges again, but need to put some distance above 60 to be convincing. 

Moving average breadth is progressing very slowly. The %>50sma seem elusive as the %>200sma are turning green quicker. This is fairly normal after a couple months of sideways action.  

RSI took a break today, but also remains on the right path on this rebound. It is good to see more Nitrous and CFGs getting up to overbought territory again. 

Short-term still leaning to the buyers. Heath Care is still seeing a lot of lows, but that’s about it. Even in that sector, the MA and Thrust readings still look fine for now.

The Pressure Gauges did show some targeted selling today. Energy took the brunt of the selling with some in Consumer Discretionary spaces. Consumer Discretionary is mixed right now with these spaces selling while other subsectors are showing leadership on the day.

This looks just fine to start the week and has spread across the columns well over the last two weeks. This is how we want to see it spread, now I would just like to see more in the Offensive sectors to be more comfortable the correction is coming to an end. 

Biotechnology and Pharmaceuticals are the only two highlighted still, but those two were also top performing subsectors today. Let’s see if they can continue those gains and get on the rebound finally.

The Wrap up

It was another push day. Neither side was willing to push it as we entered OpEx week. Wide swings are very possible on any OpEx week, so either give things more room or be prepared to do more end of day adjustments. A pause here for a minute as the battle under the highs takes place is fine, we just don’t want to see hard reversals get any follow through with RSI just ebbing at the bull range demarcation. It could be a week with fits and starts and head fakes, so be careful to plan accordingly and stick to that plan.

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!