12/3 Bearish. 210 Buying | 240 Selling.
% Stocks Over 50SMA is Bullish. Primary Indicator is Bearish – Caution. 20% Weekly is Neutral.
The market showed modest gains led by tech and mega-cap strength despite choppy action and late-day distribution, reflecting cautious investor sentiment.
Semiconductors and chip equipment saw broad late-day selling except for TXN’s relative strength; industrials showed leadership from GWW, CAT, and KEYS. Metals/miners and select consumer names like COST also demonstrated momentum. VXX remained stable, suggesting contained volatility.
Tomorrow’s key catalysts include the November ADP Employment Change and ISM Services reports, which could drive near-term market direction.
Key Takeaway:
Traders should be selective and focus on relative strength leaders like TXN, GWW, KEYS, and CAT for swing entries on pullbacks or breakouts, while avoiding weak semis and storage/AI-adjacent names like PSTG due to after-hours volatility. Maintaining tight stops below key supports is advised given the late-session distribution and bearish primary indicator. Monitor sector rotation and volume for confirmation before committing.
Watchlist
Continuation: TXN (S1: 175.5, S2: 174.5, S3: 174.0, R1: 177.0, R2: 177.5, R3: 178.0)
Anticipation: COST (S1: 919, S2: 915, S3: 912, R1: 923, R2: 928, R3: 930)