Power Hour

Power Hour #95: Breadth Break: From 46% to 10% in One Session – Friday 8/28/2026

Episode 954:20

0:004:20

Episode summary

Market breadth collapses from 46% to 10% above the 20-day moving average in a single session, flipping sentiment gauges and market leadership overnight. The hosts break down what to cut, what to hold small, and which stocks to watch for tomorrow’s confirmation.

Chapter by chapter

Breadth Craters From 46% to 10%

The 20 SMA breadth reading collapses 36 points in one session, signaling a reversal day.

Sentiment Flips and Leadership Narrows

Bull/bear sentiment gauges invert while leadership narrows into Communication Services and Health Care.

Cut the Extended Tech Names

PANW and ALAB get sold before the bell as momentum longs lose support.

Insurance Holds, Inverse ETFs Flash Warning

AJG and AON hold up as a small-sized defensive trade while inverse ETFs dominate the bullish-reversal scan.

PANW and ALAB as Tomorrow's Canary

How PANW and ALAB open tomorrow will confirm whether today was a one-day flush or a real breadth break.

Trade Internals Until Breadth Recovers

With no clean SPY level to lean on, the plan stays defensive until percent above the 20 SMA climbs back toward the 40s.

Key points

  • Percent of stocks above the 20-day SMA cratered from 46% to 10% in a single session — a full regime flip, not a normal pullback.
  • Cut extended tech exposure like PANW and ALAB before the close; momentum longs have no breadth support underneath them.
  • Insurance names AJG and AON are the strongest continuation trades, but size small since this isn't a press-your-bets tape.
  • Inverse ETFs (SDS, SPXU, SPDN) topping the bullish-reversal scan is a warning sign to prioritize capital protection.
  • No clean SPY level to trade today — watch internals instead, and wait for breadth to climb back toward the 40s before turning constructive again.

Ticker charts

PANW

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 PANW in WaveFinder.

Daily bars through Aug 28, 2026.

ALAB

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 ALAB in WaveFinder.

Daily bars through Aug 28, 2026.

AJG

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 AJG in WaveFinder.

Daily bars through Aug 28, 2026.

AON

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 AON in WaveFinder.

Daily bars through Aug 28, 2026.

SDS

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 SDS in WaveFinder.

Daily bars through Aug 28, 2026.

SPXU

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 SPXU in WaveFinder.

Daily bars through Aug 28, 2026.

SPDN

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 SPDN in WaveFinder.

Daily bars through Aug 28, 2026.

SUNB

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 SUNB in WaveFinder.

Daily bars through Aug 28, 2026.

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