7/11 Cautiously Bullish. 350 Buying | 150 Selling.
% Stocks Over 50SMA is Bullish – Caution. Primary Indicator is Bullish. 20% Weekly is Bullish – Caution.
The market rebounded to record highs with broad sector gains led by small- and mid-caps, supported by strong earnings and dividend hikes, while mega-caps showed mixed performance.
Consumer discretionary led with Delta Air Lines surging on strong Q2 results and guidance reinstatement; technology and communication services lagged slightly; energy and financials showed stable volume and range-bound action. Volatility remains subdued, reflecting calm ahead of the June Treasury Budget release.
Tomorrow’s catalyst: June Treasury Budget report at 2:00 PM ET.
Key Takeaway:
Swing traders should focus on continuation setups in small- and mid-cap sectors and consumer discretionary stocks showing strong volume and momentum, while being cautious around mega-cap tech and communication services due to recent underperformance and consolidation. Monitor key support levels on breakout candidates and keep stops tight below 50SMA support zones to manage risk amid mixed sector rotation.
Watchlist
Continuation: AXP (S1: 323, S2: 324, S3: 325, R1: 327, R2: 328, R3: 330)
Anticipation: MIST (S1: 2.4, S2: 2.5, S3: 2.5, R1: 2.5, R2: 2.5, R3: 2.6)