📈 ALL TIME HIGHS

We are hitting new highs. More green to come?

State of the Market

What a day yesterday was! Semiconductors are breaking out. Earnings results are strong. Nvidia passed Apple in market cap.

Is this the time to be doubling down on your trades looking for continued pushes? Or is it time to take profits?

Let’s take a look under the hood of the market to see where we’re at.

Market Internals

All of the charts I will show here are linked to the Nasdaq.

This first one is stocks above their 5-day moving average.

You can see that there are clear support and resistance levels. While we haven’t reached resistance, we’re actually moving down today. So the breadth of the market isn’t improving despite the indexes making all-time highs.

We get a clearer picture when we overlay QQQ with some of these charts. This is NCOF - stocks above the 150-day moving average.

You can see that we’re not quite moving in tandem with the Nasdaq which is something to watch for. Ideally we would be mirroring the index.

We are not so high up that it is impossible to move higher. We just aren’t doing it.

Regardless, the Nasdaq 100 is hitting all time highs and the chart is showing a textbook breakout.

I am not here to throw a wet blanket on the market - just providing some signals to be cognizant of.

I recap what transpired in the market yesterday and which stocks I have on my watchlist for today here: