Power Hour #117: Breadth Breakdown: Cut the Cyclicals, Hold the Leaders – Wednesday 9/30/2026

Welcome to Wave Rider Power Hour, your final hour tactical edge. Let's dive in. Breath just dropped three points into the clothes and only two sectors are green. Is this bounce already losing its legs? Let's get tactical. Okay, so give it to me straight. What's the regime right now? Still oversold or are we shifting? Compressing. Percent above the 20 SMA fell the 15 from 18 yesterday. That's a choppy tape, not a trending one. Mm-hmm. And three points in a... Three points, yeah. And the 40 SMA reads oversold but four percent. Sentiment is neutral, so it's a mixed... Mix signal. Exactly. And here's the tell. The thrust counts collapsed both ways. Bull four percent went from 158 to 119. Bear four percent from 137 to 116. Oh wow, so fewer stocks thrusting in either direction. Right, nobody's committing. It's a stadium emptying out even though the game's still on. Love that. Okay, choppy tape means we can't hold everything. What are we keeping into the clothes? Hold SNPS. 441.05. Up 6.3 percent. Strongest thrust on the board. Institutional volume behind it. Right. But size is small, right? Small. The risk reads it 190.5 percent, so tight stops. Hot hand, short leash. Got it. What else are we holding? Honestly, TXG, 9004, up about 1.7 from the open. It's the only clean small cap hold on the board. Mm-hmm. Anything worth entering late? Two on confirmation only. CDNS above 334. V-E-E-V above 285.95. But only if they close at the highs. Why those two? Institutional volume backing both. Cleaner risk than SNPS. You want the clothes to confirm before you touch them. Okay, so what are we cutting fast? Look, everything's cyclical. Utilities lead the damage. RSPU down 3.84. Discretionary, financials, materials all right behind it. Yeah. Percentile ranks? Zero to five. Bottom of the barrel. 10 of 11 sectors are read. Only tech and healthcare green. So it's basically a two lane highway. A two lane highway and the other eight are gridlocked. Don't drive in the stalled lanes. Right. What about the small cap froth? You know what? Cut it before the bell. O-N-M-D's down 13%. L-G-H-L down almost 22. 22. Oh, man. 21.84. Fade the froth, respect TXG. That's the line. I mean, anything on the watch list? Not Act, just watch. So basically, B-B-U-S and F-A. B-B-U-S is showing relative volume of 3.1, F-A at 2.5. Heavy reversal volume, but unconfirmed. Yeah. So watch, don't chase. Watch, don't chase. I-I-P-R still read down 2.8, so that one's not confirming yet. And total risk? Here's the thing, capped at 2.5%, discipline over hero trades today. Okay, that's the playbook for today. What changes for tomorrow? I mean, stock the leaders at the open. S-N-P-S above 4.41, C-D-N-S above 3.34. TXG near 90 carries the momentum overnight. But the real trigger is in price, is it? It's breath, exactly. Percent above the 20 SMA has to stabilize above 15. That's your green light. Right. And the reversal volume? Follow through on B-B-U-S and F-A tells you the bounce is real. No index levels needed, breath is the anchor. Yeah, totally. So until that 15 holds. You stay a stock picker, no broad rally yet. This is selective, not sweeping. Mm-hmm. See, that's the thing people miss. Good tape isn't the same as a green light. Totally, hold the two leaders, cut the cyclicals, let breath decide. Oh right, perfect. So here's the clothes, locking your cuts before the bell, keep S-N-P-S and TXG on a short leash and watch that 15% breath level first thing tomorrow. That's the read. Sure, that's the clothes. See you at Yopin. That's all for today's episode of Wave Rider Power Hour, your final hour tactical edge. See you next time.