1/12 Neutral. 120 Buying | 10 Selling.
% Stocks Over 50SMA is Neutral. Primary Indicator is Neutral. 20% Weekly is Bullish.
The market extends its record run into 2026 amid a solid economic backdrop, with broad gains led by tech and consumer discretionary sectors. Semiconductor and home construction stocks showed strong rebounds, while healthcare and financials lagged ahead of next week’s earnings. Volatility remains subdued as investors digest mixed employment data and await key inflation releases midweek.
Tech and consumer discretionary sectors continue to lead, supported by a strong chip rebound and housing-related catalysts. Materials and utilities also show strength, while financials and healthcare trade softer. VXX remains muted, signaling low fear and a cautious bullish tilt.
Upcoming catalysts include Tuesday’s December CPI and Core CPI data, along with new home sales and Treasury auctions. Earnings ramp up midweek with major banks reporting, which could test current momentum.
Key Takeaway:
Swing traders should focus on quality growth and tech names showing momentum and volume support, while watching for pullbacks near key supports for entries. Defensive sectors like industrial gases offer steady bids for risk management. Avoid chasing extended moves in small caps without volume confirmation, and stay alert for volatility spikes around midweek inflation and bank earnings.
Watchlist
Continuation: CVNA (S1: 462.5, S2: 459.5, S3: 454.0, R1: 466.0, R2: 472.0, R3: 480.0)
Anticipation: CHKP (S1: 192.0, S2: 191.7, S3: 190.5, R1: 193.8, R2: 195.0, R3: 196.5)