Year-End Market Review: Signal & Noise
The signal we have been tracking in the Nasdaq continues to build. As we approach the new year, where are the pockets of strength?
The signal we have been tracking in the Nasdaq continues to build. As we approach the new year, where are the pockets of strength?
Christmas week started with the strong turn around at the end of the prior week, with the mega caps and indexes leading the way. Since the initial pop, there has been some participation drop off as volume has slowed due to traders starting to focus on time off.
As we approach the end of the year, the market is in a generally bullish stance. I doubt it’s going to go straight up, but this butterfly is something to consider into the first month of the new year.
ALAB is a hot semiconductor AI name, and it has experienced a nice pullback, along with a combination of a daily and weekly squeeze. This is a great long-term buy setup, with a fantastic risk to reward to the upside.
Indexes continue to churn sideways as we approach next week’s holiday trade. Bulls usually take over in low volume. Can they do it again?