Midday Market

Midday Wave #97: The Undertow: When Breadth Lies About the Tide – Thursday 8/27/2026

Episode 974:58

0:004:58

Episode summary

Bulls beat bears 153-to-40 on today’s scan, but underneath that headline the 20SMA breadth collapsed 11 points and the 40SMA sentiment flipped bearish. The team breaks down sector rotation into Communication Services and Health Care, separates volume-confirmed continuation leaders from hollow headline movers like BMNG, and sets two key levels — CBRS and PANW — to watch into the close.

Chapter by chapter

Breadth Flip Beneath the Bulls

Morning Cautious regime holds, but 40SMA and 20SMA breadth deteriorate sharply and 40SMA sentiment flips bearish.

Rotation, Not Broad Buying

Money rotates into Communication Services and Health Care out of Industrials and Tech, with no index prices available today.

Confirmed Leaders: BSOL and CANG

BSOL and CANG show real volume-backed continuation moves, unlike the headline-grabbing BMNG.

BMNG's Empty Tank Rally

BMNG's 15.4% headline move comes on just 0.3 RVOL and elevated risk, flagged as a fade not a chase.

Software Strength: PANW and ADBE

PANW leads sector sentiment on guidance-raise optimism, lifting ADBE and APPF alongside it.

Institutional Footprint: CBRS vs. CNXU/LITZ

CBRS shows confirmed fund backing near its demand zone, while CNXU and LITZ show high RVOL but zero fund data.

Cautious Bias, Confirmed Setups Only

Bias stays Cautious; trade only RVOL- and fund-confirmed continuation leaders and stand aside on thin pops like BMNG.

Levels to Watch Into the Close

CBRS above $178.81 and PANW above $330 are the two levels confirming the bullish thesis stays intact.

Key points

  • Headline breadth (153 bulls to 40 bears) masked a sharp internal breakdown: 20SMA breadth fell 11 points and 40SMA sentiment flipped bearish.
  • Today's move is sector rotation (into Communication Services and Health Care), not broad-based buying.
  • Volume confirmation separates real setups (BSOL, CANG) from hollow headline movers (BMNG at 0.3 RVOL).
  • Institutional fund data confirms CBRS's strength while CNXU and LITZ show momentum without confirmation.
  • Afternoon bias stays Cautious — favor RVOL- and fund-confirmed continuation leaders, watch CBRS above $178.81 and PANW above $330.

Ticker charts

BSOL

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open BSOL in WaveFinder.

Daily bars through Aug 27, 2026.

CANG

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open CANG in WaveFinder.

Daily bars through Aug 27, 2026.

BMNG

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open BMNG in WaveFinder.

Daily bars through Aug 27, 2026.

APPF

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open APPF in WaveFinder.

Daily bars through Aug 27, 2026.

PANW

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open PANW in WaveFinder.

Daily bars through Aug 27, 2026.

ADBE

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open ADBE in WaveFinder.

Daily bars through Aug 27, 2026.

CBRS

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open CBRS in WaveFinder.

Daily bars through Aug 27, 2026.

CNXU

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open CNXU in WaveFinder.

Daily bars through Aug 27, 2026.

LITZ

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open LITZ in WaveFinder.

Daily bars through Aug 27, 2026.

SPY

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open SPY in WaveFinder.

Daily bars through Aug 27, 2026.

QQQ

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open QQQ in WaveFinder.

Daily bars through Aug 27, 2026.

IWM

Open in app
SMAUp (filled)Down (hollow)

Use left and right arrows to move through history, plus and minus to zoom, ] and [ to open the next and previous event, Escape to close its card, Enter to open IWM in WaveFinder.

Daily bars through Aug 27, 2026.

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