6/27 Cautiously Bullish. 400 Buying | 130 Selling.
% Stocks Over 50SMA is Bullish – Caution. Primary Indicator is Bullish. 20% Weekly is Bullish.
The market showed broad-based participation with strong advances led by communication services and cyclical sectors, nearly hitting new all-time highs on the S&P 500. Semiconductor strength and solid earnings from names like Micron and MillerKnoll supported momentum, while durable goods and jobless claims data reinforced a resilient economy.
Communication services (+1.8%) and energy (+1.5%) led sector gains, with small- and mid-caps outperforming large caps as volatility remained subdued (VXX lower). The tech-heavy Nasdaq showed cautious optimism with steady volume, while cyclical sectors showed renewed institutional interest.
Upcoming catalyst: Friday’s May Personal Income, Spending, PCE data, and June University of Michigan Consumer Sentiment final reading could influence market direction.
Key Takeaway:
Traders should focus on selective long setups in communication services, semiconductors, and consumer discretionary sectors showing strong relative volume and momentum. Watch for support holds near key moving averages and use stops below recent consolidation lows to manage risk. Avoid chasing mega-cap breakouts until confirmed by volume expansion. Volatility remains low, favoring swing entries on pullbacks with clear technical triggers.
Watchlist
Continuation: SPOT (S1: 770, S2: 768, S3: 760, R1: 776, R2: 779, R3: 785)
Anticipation: NVDA (S1: 154, S2: 156, S3: 158, R1: 162, R2: 165, R3: 170)