The broader market’s rally off recent lows lacks conviction.
Modest distribution Friday gives the finger to recent, modest accumulation. Not much for a bull to hang his hat on, but the technicals have indeed improved. The major indexes’ re-taking of major averages potentially set us up for a new technical base.
New highs from market darlings Facebook (FB), Amazon (AMZN) and Alphabet (GOOG) weighs in for a heavy upside vote.
Yet none of this is enough to shift the bias higher from Sell.
Once again, only China’s TAL Education Group (XRS) met the qualifications for our screen this week. And again, it’s the price action under the major averages’ keeping candidates from qualifying here.
Meanwhile, breakout candidate from a few weeks ago, mortgage lender Walker & Dunlop, Inc. (WD), is holding a recent breakout.
More of these breakout setups will surely present themselves if we are in fact heading higher from here.