Power Hour

Power Hour #134: Rotation, Not Rout: Tech Breadth Collapse and the Closing Playbook – Thursday 10/22/2026

Episode 1343:41

0:003:41

Episode summary

A sharp one-day breadth collapse in tech triggers a rotation into staples, utilities, and software, with chips and megacap names getting cut while KMI and ADBE set up as the next entries. The desk lays out exact levels on QQQ and SPY to watch into tomorrow’s open. Built from WaveFinder scanner data at app.waverider.ai.

Chapter by chapter

Breadth Collapse and the Rotation Call

20-day breadth craters from 32% to 14% as tech leads a sector rotation into defensives, confirmed by the QQQ/IWM split.

Cut Chips, Hold Defense

Trimming MU, GOOG, and QQQ while holding ADBE, ACN, and insurance names; KMI and DKS flagged as new entries, with SPY's $758.79 floor as the key line.

The Swing Factor for Tomorrow

Conflicting 20-day and 40-day breadth signals keep the desk defensive until QQQ reclaims $703; ADBE and KMI setups carry over unchanged.

Key points

  • 20-day breadth fell 18 points in one session (32% to 14%), but 40-day breadth actually rose, signaling rotation rather than a broad breakdown.
  • Chips and megacap tech (MU, GOOG, QQQ) are being trimmed on AI-spending slowdown fears, while software (ADBE, ACN) and insurance names (AJG, ALL, AON) are being held.
  • High RVOL in ILS and CLBR is a trap without price follow-through — volume alone isn't a signal.
  • KMI is the cleanest reversal entry; DKS has the strongest tape on an Outperform initiation.
  • QQQ's $703 floor and SPY's $758.79 range floor are the levels that decide whether the desk stays defensive or flips offensive.

Ticker charts

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 22, 2026.

ADBE

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 ADBE in WaveFinder.

Daily bars through Oct 22, 2026.

MU

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 MU in WaveFinder.

Daily bars through Oct 22, 2026.

GOOG

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 GOOG in WaveFinder.

Daily bars through Oct 22, 2026.

ACN

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 ACN in WaveFinder.

Daily bars through Oct 22, 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 Oct 22, 2026.

ALL

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 ALL in WaveFinder.

Daily bars through Oct 22, 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 Oct 22, 2026.

ILS

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 ILS in WaveFinder.

Daily bars through Oct 22, 2026.

CLBR

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 CLBR in WaveFinder.

Daily bars through Oct 22, 2026.

KMI

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 KMI in WaveFinder.

Daily bars through Oct 22, 2026.

DKS

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 DKS in WaveFinder.

Daily bars through Oct 22, 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 22, 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 22, 2026.

RSPT

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 RSPT in WaveFinder.

Daily bars through Oct 22, 2026.

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