One day does not a market make. Yesterdays up day was wiped out with todays action. Remember 3/4 of stocks will follow the General Market.
SP 500 -.8% closing above 50d
Nasdaq -1.4% closing below 50d
Dow -.3%
QQQ -1.5% Bearish Engulfing Candle today has now closed below the 20d and 50d MAs.
This relentless market chop continues making this market treacherous for anyone trying to initiate new positions, long or short. The Anthropic New Legal tool released today was the excuse to continue the aggressive selling in the software stocks. IGV ETF -4.6% SNOW -9.1% CRWD -3.9%, TWLO -8.8% CRM -6.8% MDB -7.1% and so on.
SMH -3.2% with a 3 Bar Break got some support and closed above 20d
XLP +1.6% (Consumer Staples) hit an All Time High today……seems like the Professionals are piling into defense areas….never go good sign when the XLP leads……we started picking on this in the January 9 GMU.
PLTR +6.8% on its ER report which delivered numbers which were inline with expectations. The stock is still a laggard and the report was sold into by Institutions that have been distributing stock since August 2025, where RKi Members sold the stock.
TER +13.4% surprised by 10% on the Top Line and a 30% Surprise on the Earnings
GOOGL reports Earnings tomorrow night. From our average cost, it currently has +5% profit cushion. I am inclined in the FL portfolio to hold this position into the Report for reasons mentioned in Sunday’s FL Video. On Wed, if it closes below the 5% cushion mark ($339.21), then the FL portfolio will sell the entire position. I personally currently have a 15% position in GOOGL.
STNG +1.9% today, good action so far
RKT gapped up to get back above 50d
Memory/Storage stocks all seeing some normal distribution into key levels such as $100B for STX, WDC and SNDK.
MU touched the 10sma but closed above it so no news on that front.
Key Earnings Reports after the Close
AMD Down A-Hrs -5% on EPS +40% YoY, Rev +34% YoY.
LITE Up A-Hrs +9.4% with a Double Beat, EPS +298% YoY Rev +65% YoY and raised guidance.
Fiber Optic stocks (GLW CIEN VIAV COHR AAOI) look like beach balls underwater as they want to move higher but have been weighed down by the general market.
Plenty of volatility and cross current signals….Keeping your line close to shore continues to be the best approach right now.
Trade Well
J