1/14 Cautious. 275 Buying | 280 Selling.
% Stocks Over 50SMA is Bullish. Primary Indicator is Bullish. 20% Weekly is Neutral.
The market showed modest downside pressure after the December CPI matched expectations but failed to ignite further upside, with rate cut expectations pushed to June. Mega-cap tech and financials weighed on indices, while energy and consumer staples led gains amid geopolitical tensions and rising oil prices.
Healthcare and consumer discretionary sectors showed selective strength, with notable late-day accumulation in names like RVMD and BURL, while semiconductors consolidated. Financials remain pressured ahead of major bank earnings. Volatility (VXX) remains subdued, signaling cautious optimism.
Tomorrow’s catalysts include November PPI data and earnings from major banks such as Bank of America and Wells Fargo.
Key Takeaway:
Focus on quality growth names showing late-day accumulation for potential continuation setups (e.g., RVMD, BURL, MEDP). Avoid weak energy and materials stocks until signs of basing appear. Watch key support levels on tech and financials ahead of earnings, and be prepared for modest volatility with a cautious market tone. Use pullbacks near support for entries and confirm strength with volume.
Watchlist
Continuation: RVMD (S1: 119.5, S2: 118.8, S3: 118.0, R1: 120.2, R2: 121.0, R3: 122.5)
Anticipation: TSLA (S1: 446.3, S2: 445.7, S3: 444.7, R1: 447.8, R2: 449.8, R3: 452.5)