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Midday Wave #46 Bullish

Midday Wave #46: Bullish Regime Flip: Tech Leads the Charge – Thursday 5/14/2026

May 14, 2026 4:00
Episode Summary
The market sentiment has officially flipped from neutral to bullish, driven by a massive surge in technology sector breadth. While long-term indicators are strong, traders must monitor short-term divergence and key confirmation levels before committing to long positions.
Key Takeaways
  • Sentiment flipped to Bullish with 285 bulls vs 123 bears
  • 42% of stocks above 40 SMA, up 2.0pp from yesterday
  • FLYT leads with 18.2% gain and 3.4 RVOL
  • Technology sector RSPT hits 100th percentile rank
  • Mixed earnings create divergence between ACN and CTNT
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Midday Situation Check

Bullish regime — Sentiment at 4% (up from Neutral yesterday), with 55.42% of stocks above the 40 SMA (up 2.0pp) and 88% above the 20 SMA (down 4pp).

Market Recap — Session So Far

Market breadth remains resilient despite a slight cooling in short-term momentum, with Technology leading the charge while Consumer Discretionary lags.

  • Index Levels: Specific price data for SPY, QQQ, and IWM is currently unavailable for this session.
  • Breadth Update: Bullish sentiment surged to 285 bulls versus 123 bears, a sharp reversal from yesterday’s 243 bulls and 260 bears.
  • Momentum Shift: While 88% of stocks remain above their 20 SMA, this is a 4 percentage point drop from yesterday’s 92%, indicating some intraday profit-taking.

Momentum Watch — Breakout Continuation & SIP

Technology sector strength is driving the market higher, led by RSPT hitting a 100th percentile rank with a 0.94% daily change.

  • Top Continuation: FLYT is the standout with an 18.2% gain and 3.4 RVOL, signaling massive volume interest in the ETF/ETN/CEF sector.
  • SIP Entries: ACN reported a partnership to boost AI adoption, while CPA and BN both posted better-than-expected Q1 results.
  • Follow-Through: DOC holds steady at $19.77 with institutional support, while IONQ trades at $56.98 with a 3.1% gain.

Strategy Check — Continuation, SIP & 20% Study

Institutional flows are confirming the technology rally, though mixed earnings are creating divergence in the software and logistics sectors.

  • Continuation Signal: FLYT continues to lead with an 18.2% move and 3.4 RVOL, maintaining a high-risk, high-reward profile.
  • SIP Movers: INMB gained 5.04% after FDA Fast Track status, whereas CTNT fell 5.02% on mixed results despite high volume.
  • 20% Study: LITE is trading at $1030.37 with 1639 funds involved, currently testing supply levels near $1013.69.

Quick Takes & Wrap-Up

Focus on Technology continuation names and earnings reactions as the session moves toward the close.

  • FLYT — Watch for a hold above $29.97 to confirm the 18.2% breakout continuation.
  • ACN — Monitor the $159.64 level for sustained interest following the AI partnership announcement.
  • Bias: Bullish bias remains intact for the afternoon, driven by the 55.42% breadth reading above the 40 SMA.
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