After some frothy action in speculative "junk" on Friday, things have cooled off today. Breadth has dropped to about 2600 advancers to 3600 decliners, and the pockets of momentum have dried up. I see some follow through in names like Vuzix (VUZI) , Cara Therapeutics (CARA) , SkyPeople Fruit Juice (SPU) and NeoPhotonics (NPTN) , but it is much more selective.
Big-cap names are mixed, and we have some weakness in biotechnology, oil and precious metals. Acacia Communications (ACIA) continues to lead the super-momentum names, and Tesla (TSLA) is active, but it is much narrower today.
I had reduced my long exposure quite a bit before I went out of town last week, and am having a hard time finding new buys at the moment. One thing I did add was Five9 (FIVN) , which has a nice base of support but needs better volume to attract some momentum buyers.
The indices are still holding key support levels, but obviously the upside momentum in (SPY) has slowed and there is some rolling taking place. It is nothing major at this point, but we are still a bit extended and it isn't a surprise to see a pause. If SPY trades back under 215, I'd be a bit concerned. But so far, this is just some routine churning.