WaveRider Power Hour: Tech Titans Take Charge, Bulls Regain Control
Regime Check — Where Are We Now?
The market regime has shifted more bullishly since the open, evidenced by significant expansion in market breadth.
- Breadth is expanding strongly, with the % Above 20 SMA at 148% today, a substantial increase of 27.0 percentage points from yesterday’s 121%.
- Technology (RSPT) is leading, showing a “flat” trend and remaining at its maximum ATR value of 3.85, indicating strong sector participation.
- Today’s character suggests a trend day, as positive breadth and increased sector strength point towards sustained bullish momentum.
Strategy Signals — Continuation, Reversal & SIP
- AMZN shows a strong continuation (2LYNCH) signal at $276.40, up 1.0% with RVOL of 0.7.
- AZTA displays a notable bullish reversal signal at $18.61, down -24.4%, indicating potential dip buying opportunities.
- DIA, showing a positive sentiment with “peace hopes,” rises at $492.96, with rvol of 0.82 could continue into close. ESTA also raised guidance.
- PLASTICS is the most relevant action code today, as Materials and Consumer Staples are at 100% for the past 20 days.
Closing Playbook — What To Do Now
- Consider scaling back positions experiencing significant reversals, such as AZTA at $18.61, especially if it breaks below key support.
- If AMZN holds above $276.40 into the close, consider entering a continuation trade, targeting further upside.
- Since index data is unavailable, it’s not possible to assess SPY direction.
Tomorrow’s Early Look
- Monitor overnight news regarding peace talks, especially its impact on DIA and overall market sentiment.
- Watch for a continuation breakout in AMZN if it opens above $276.40, building on today’s momentum.
- Expect continuation of the bullish trend if today’s breadth and sector leadership are maintained, but be prepared for a pullback.