Next Day Prep

Next Day Prep #339: Healing, Not Healed: Inside a Bearish Breadth Breakout – Friday 10/9/2026

Episode 3396:26

0:006:26

Episode summary

Despite the regime holding Bearish all day, breadth expanded for a second straight session and broad-based buying pushed the Dow, S&P, and Nasdaq higher together. The team breaks down the SpaceX spectrum deal’s tower-stock winners and losers, a multi-catalyst healthcare rebound, and lays out exact levels for SBAC, NET, and TWLO heading into a thin-liquidity Monday ahead of Wednesday’s CPI print.

Chapter by chapter

Bearish Label, Bullish Internals

Breadth climbed from 24.9% to 27.16% and all three major indices rallied together even as the regime stayed Bearish.

Bull/Bear Gauge Flips, Chips Lag

The Bull/Bear gauge swung hard bullish, but semiconductors (SOX) diverged lower, leaving an unresolved crack in the rally.

2LYNCH Fires Six Signals

The 2LYNCH scan flagged six names led by software and medical stocks including SBAC, TWLO, and NET.

SpaceX Spectrum Deal Splits Telecom

SpaceX's purchase of Grain Management's spectrum sent tower owners CCI and SBAC soaring while carriers T-Mobile and AT&T sold off sharply.

Healthcare's Multi-Catalyst Rebound

Humana, Moderna, and NVAX each rallied on independent catalysts, converging into one of the day's strongest sector moves.

The Chip Divergence Risk

Skyworks and the broader fabless theme fell even as the market rallied, flagging an unresolved structural weak point.

SBAC, NET, TWLO Setups

Specific entry levels and risk profiles are laid out for SBAC, NET, TWLO, and FSLY.

Thin Monday, Breadth Fork, CPI Ahead

Monday's holiday-thinned liquidity, the 30%/24% breadth decision fork, and Wednesday's CPI print as the real catalyst.

Key points

  • Breadth expanded for a second straight day (24.9% to 27.16%) even though the regime label stayed Bearish, signaling internal healing ahead of the official shift.
  • The rally was broad-based across Dow, S&P, and Nasdaq, not mega-cap driven, and the Bull/Bear gauge flipped sharply bullish (132 vs. 100).
  • SpaceX's spectrum deal created a clean pairs trade: tower owners CCI (+15.6%) and SBAC (+7.3%) surged while carriers T-Mobile (-13.27%) and AT&T (-9.85%) sold off.
  • Semiconductor weakness (SOX -0.4%, Skyworks -5.45%, fabless theme -2.56%) remains the key unresolved risk despite the broader rally.
  • Breadth fork for tomorrow: clear 30% with semis stabilizing to upgrade toward Cautious; slip under 24% with chip weakness to slide toward Correction. Wednesday's CPI is the real trigger.

Ticker charts

SBAC

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 SBAC in WaveFinder.

Daily bars through Oct 9, 2026.

NET

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 NET in WaveFinder.

Daily bars through Oct 9, 2026.

TWLO

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 TWLO in WaveFinder.

Daily bars through Oct 9, 2026.

FSLY

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 FSLY in WaveFinder.

Daily bars through Oct 9, 2026.

CCI

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 CCI in WaveFinder.

Daily bars through Oct 9, 2026.

T

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 T in WaveFinder.

Daily bars through Oct 9, 2026.

TMUS

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 TMUS in WaveFinder.

Daily bars through Oct 9, 2026.

IBRX

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 IBRX in WaveFinder.

Daily bars through Oct 9, 2026.

WAT

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 WAT in WaveFinder.

Daily bars through Oct 9, 2026.

ELV

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 ELV in WaveFinder.

Daily bars through Oct 9, 2026.

HUM

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 HUM in WaveFinder.

Daily bars through Oct 9, 2026.

MRNA

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 MRNA in WaveFinder.

Daily bars through Oct 9, 2026.

NVAX

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 NVAX in WaveFinder.

Daily bars through Oct 9, 2026.

SWKS

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 SWKS in WaveFinder.

Daily bars through Oct 9, 2026.

AAPL

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 AAPL in WaveFinder.

Daily bars through Oct 9, 2026.

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