Power Hour

Power Hour #125: Rotation, Not Rout: Reading the Breadth Collapse – Monday 10/12/2026

Episode 1254:35

0:004:35

Episode summary

Breadth craters into the final hour, but a rising 40-day reading signals rotation rather than a real breakdown. The hosts break down what to cut, what to hold, and the two confirmation-only setups worth watching — before turning to crude oil as the key swing factor for tomorrow’s open.

Chapter by chapter

Breadth Cliff Dive

Short-term breadth drops to 14% above the 20-day while the 40-day ticks higher, signaling rotation.

Sentiment and No Levels Today

Bearish sentiment tilt confirmed, but no SPY/QQQ/IWM levels — internals are the only read.

Cutting ORCL and NBIS

ORCL gets trimmed and NBIS exited before the close on negative sentiment and fading tech ATR.

Energy Holds, PMI and MMED on Confirmation

RSPG strength confirms the rotation thesis; PMI and MMED are watch-only setups requiring confirmation before entry.

Crude Oil as Overnight Catalyst

BNO's supply disruption sentiment sets up energy names like GPOR and LNG for tomorrow's open.

EBAY Breakout and Defensive Regime

EBAY's Top Pick upgrade offers the cleanest long setup as the regime stays defensive until breadth stabilizes.

Key points

  • A falling short-term breadth reading alongside a rising 40-day reading signals rotation, not a true breakdown.
  • ORCL and NBIS are cut before the close on negative sentiment catalysts and weakening tech ATR.
  • Energy strength (RSPG) during a risk-off day confirms rotational rather than liquidation-driven selling.
  • PMI and MMED are confirmation-only setups — no hold above key levels with volume means no trade.
  • Crude oil (BNO) and its supply disruption story are the key overnight factor for tomorrow's energy open, with GPOR, LNG, and EBAY as names to watch.

Ticker charts

ORCL

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 ORCL in WaveFinder.

Daily bars through Oct 12, 2026.

NBIS

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 NBIS in WaveFinder.

Daily bars through Oct 12, 2026.

RSPG

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 RSPG in WaveFinder.

Daily bars through Oct 8, 2026.

PMI

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 PMI in WaveFinder.

Daily bars through Oct 12, 2026.

MMED

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 MMED in WaveFinder.

Daily bars through Oct 12, 2026.

ATHM

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 ATHM in WaveFinder.

Daily bars through Oct 12, 2026.

BNO

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 BNO in WaveFinder.

Daily bars through Oct 12, 2026.

GPOR

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 GPOR in WaveFinder.

Daily bars through Oct 12, 2026.

LNG

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 LNG in WaveFinder.

Daily bars through Oct 12, 2026.

EBAY

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 EBAY in WaveFinder.

Daily bars through Oct 12, 2026.

SPY

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 SPY in WaveFinder.

Daily bars through Oct 12, 2026.

QQQ

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 QQQ in WaveFinder.

Daily bars through Oct 12, 2026.

IWM

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 IWM in WaveFinder.

Daily bars through Oct 12, 2026.

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