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A recap of a cautious market day where a hot October jobs report of 165,000 jobs lifted December rate hike odds to 79.5% and capped an oversold mega cap AI bounce. The episode covers scanner highlights in aerospace and healthcare, then Monday’s playbook with earnings reactions, SPY levels and risk guidance.
Key points
The market regime stayed cautious, closing at 52.21% on the 40-day SMA, and the day was a short-term oversold mega cap bounce, not a trend repair.
The October jobs report came in at 165,000 and pushed December rate hike odds to 79.5%.
The Dervis box was the busiest scan with nine signals, mostly healthcare names, which were seen as the only constructive pocket.
If SPY gaps down and loses 738, breadth could fall below 40% and downgrade the regime to cautious bearish.
With VIX at 25.67, keep exposure light and use action codes CRT and T3A.
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