Market Snapshot

The market remains firmly in its primary uptrend, with both SPY and QQQ trading comfortably above their near-term and intermediate moving averages. This past week saw a mild pullback on slightly heavier volume, nothing more than healthy profit-taking after a solid advance. Over the past month, the broad averages have ground steadily higher, carving out fresh relative highs and reinforcing the uptrend’s resilience.

Rotation is underway: energy groups are continuing to participate with Oilers and Miners topping the list, followed by broader Energy and Solar. This is possibly a defensive signal with the macro headwinds. This shifting leadership is normal in a maturing uptrend; the key next signal will be renewed buying pressure in high-RS sectors—Semiconductors, Software & Services and other technology leaders—to confirm the next leg of the market’s advance. I will cover all of this and more live in this evening’s TML Talk.