After some dreary action on Thursday and Friday that had the bears feeling a bit more confident, it is the bulls turn to take control. This back-and-forth action with neither side being able to string together a winning streak has been the nature of the market action for a while. The bulls have had the edge, but they have not been able to build sustained momentum when given an opportunity like they have today.
The last three gap-and-go days have been followed by reversals the next day. The bears back off for a day but then give it another try as soon as the buying slows.
We have very strong breadth is this morning at around 3 to 1 positive and 370 new 12-month highs. Strength is in the big-cap names such as Facebook (FB) and Alphabet (GOOGL) , but it is oil and commodities that are doing the heavy lifting. Small-caps are outperforming, but there looks to be some squeeze action forcing the S&P 500 to new closing high levels.
Nova Measuring (NVMI) , which I mentioned a week or so ago, continues its winning streak. My new buy from Friday, The Trade Desk (TTD) , is following through and my Stock of the Week, Highpower (HPJ) , is in good shape technically.
I have some outside business to attend to today, so I'm not doing too much new right now. If oil stays strong I'm looking to add to a position in ProPetro Holding (PUMP) , but distracted trading seldom works well.
Cocktails & Cramer
Join Jim Cramer on May 23 for an exclusive party at Bar San Miguel, his Brooklyn tavern. You'll get to watch a screening of Mad Money, after which Jim will arrive fresh off of the CNBC set to mingle, pose for photos and answer your investing questions. Participants will enjoy dinner, drinks, an autographed copy of Jim's book Get Rich Carefully and a one-year membership to Action Alerts PLUS, Jim's club for investors. (Current AAP members will receive one extra year of membership for free.)
When: Tuesday, May 23, 6 p.m.-9 p.m. ET
Where: Bar San Miguel, 307 Smith St., Brooklyn, N.Y.
Cost: $375 per person
Space is very limited, so click here to reserve your ticket to this exclusive event today.