Midday Wave #118: Breadth Flips Bearish: Tech, Health Care Hold the Line – Monday 9/28/2026

Welcome to Wave Rider mid-day wave your mid-session market intelligence. Let's dive in yesterday's breath was building today It's cut in half what changed and where's the money still working? Okay, so quick regime check morning tape looked constructive Where are we now defensive it flipped overnight? Mm-hmm flipped how give me the breath So the 40 SMA breath is 19.44% down from 20.99% yesterday That reads oversold now right mm-hmm, but the real story 20 SMA breath collapsed to 20% from 40% Oh, wow wait from 40 to 20 in one session one session a 20 point swing. Oh, man That's the tide pulling out overnight Exactly that and sentiment on the 4% measure flipped bearish from bullish exactly Give me the counts bull 4% felt a 63 from 140 bear 4% rose to 126 from 115 Yeah, so basically bears now leading almost two to one Cleanly, that's a regime not a pause right right? Okay, so if participation's narrowing what's actually rotating underneath two lifeboats Technology's still the leader 98th percentile RSPT 1.45 rising mm-hmm right And health care RSPH 2.36 also rising everything else is taking on water. Yeah, totally Meaning financials RSPF negative 2.12 second percentile discretionary and industrials both deep negative two. Oh, wow second percentile. Wow. It's a laggard cluster So let's go to the tape which continuation trades are actually holding since the open honestly almost none Except one which one HBR it's $17.40 up 35.9% relative volume 4.8 4.8 that dwarfs everything sure It's the one runner sprinting away while the pack jogs in place. I mean, so what's the pack doing? I mean look at the Arval AIT's 0.1 HEI 0.2 hub 0.3 DHR and BII B 0.4 so the breakouts are there but but there's no volume behind them no conviction Anything else holding green two institutional names ASML at $1776.89 up 1.9% and BURL $265.88 up 4.4% but Modest volume Arval near 0.5 0.6 green put quiet Okay, so and the stocks in play do they confirm this defensive tilt? They lean negative Meds is down 9.33% from open DK and G's minus one sentiment on peer weakness Right and the financials read carries through bottom up. Yeah, Jens minus two on guidance KKR minus two on margin Yeah, so basically the sector weakness shows up named by name top down confirmed bottom up and here's a red flag Pan W got a price target raise and still sits minus 3.13% from open. Huh a pep talk that doesn't move the scoreboard That's exactly it. What about the 20% study any institutional momentum? Concentrated not broad Medq's Arval 3.47 FizN 2.18 Plus a small biotech cluster APMD SCTX BLSM sitting near demand zones So scattered interest not a wave right right nobody stepping in with both feet Okay, so bottom line what does a trader adjust from the morning plan get defensive the bias is explicit now Because 20 SMAs have didn't bear 4% leads 126 to 63 So favor always be in control controlled risk taking keep size small right and where do you actually engage? Only the highest RVOL names inside the two green sectors tech and health care nothing else Yeah, this is hands on the wheel not chase every light exactly That's the whole session in one line So you know what what are the tells into the close two levels H.A.B.R. holding $17 and 40 cents and ASML holding 1776 89 those hold we've got conviction they break the defensive read gets validated Okay, so to close it out breath flipped bearish overnight Participations narrowing and only tech and health care led by H.B.R. is outsize volume show real conviction a session for control Not chasing keep size small stick to the two green sectors and watch $17 and 40 cents on H.B.R. and $17 and 76 cents and 89 cents on ASML into the close That's the mid-day wave we'll see you at the bell that's all for today's episode of wave writer mid-day wave Your mid-session market intelligence. See you next time