Six Degrees of Market Tells

Lots of cross-currents in the rally today, as the Japanese Yen is noticeably diverging.

Typically, the Yen should be getting wrecked in a “risk on” environment.

But we can see the Yen daily chart ETF, below, hold over the key $96 level and actually quite firm, especially against the Dollar.

Keep an eye on this one going forward, if you are not already.

Also note continued strength in some of these stealth restaurant stocks we have been profiling, such as BLMN FRGI TXRH to follow DAVE DFRG KONA higher. And even IRG may be bottoming. BKW JACK SONC have been the monster fast food winners.

As I write this, gold miners are attempting to hold an early-afternoon upside reversal.

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Courtesy of The PPT algorithm, here are the most current top five readings from my “12631 RELATIVE STRENGTH” custom-made screen, identifying which stocks are exuding some of the best performances to the market at-large at any given moment.

I look for stocks whose Daily PPT Hybrid Score surges, while the Weekly Hybrid has been negative over the past week. This can often yield stocks which are emerging from consolidations.

Members can click here to view and save the screen.

Sorted for at least 500,000 shares of daily average volume to ensure liquidity.

Please click on image to enlarge.

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After catching the initial surge off recent lows, we inside 12631 have largely allowed the soft commodities to consolidate.

To my eye, corn is tightening as well as any of them. Look for a move back over $34 on CORN.

WEAT is also impressive today.  JO and SGG may need another day or two, but are still in play later this week.

Elsewhere, to follow-up form my last post, I see Microsoft is a bit off the highs. It will be interesting to see how that stock closes today, to say the least.

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I have a few shorts mildly underwater inside 12631 this morning, as the broad market bounce is still playing out. To my eye, Citigroup is still the most vulnerable to further weakness, though we are seeing bulls making things tough again for virtually all shorts.

Microsoft is the mega cap star of the show so far today, as the monthly chart below shows Mister Softee breaking to fourteen-year highs.

That said, some marquee names like FB NFLX TSLA are not particularly impressive this morning.

As a result, I am looking to see if this bounce holds into the afternoon. If it does, I am likely to rebalance my swing portfolio.

What are you trading this morning?

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A few years back, I created a custom screen inside The PPT called: “12631 TOP ENERGY PERFORMERS.”

Members of The PPT please click here to view and save the screen (you can save it on the top lefthand corner of the screen, once inside The PPT).

For everyone else, here are the top five readings as of the close on Monday.

I am presenting them to you in the event the energy sector catches a rotation. If not, it is still a good screen to file away for future reference.

Please click on image to enlarge.

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For you night owls out there, reader “ironbird” was 100% correct in noting the strength in the utilities of late.

Specifically, he said:

The Utilities are saying something.

Note the weekly chart for the sector ETF, below, and how strong it looks above all moving averages.

Now, beyond strength on a standalone basis, what do you think the strength in utilities means for the market? Rates? The economy?

Speak your mind, night owls. All opinions welcome.

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