The indices closed at the lows of the day yesterday and there was trouble in super-momentum land, which is making traders more cautious so far today. We haven't seen much dip-buying interest, which has become almost routine after these slow starts.
Pressure on momentum names like Acacia (ACIA) , Garmin (GRMN) and Yirendai (YRD) is continuing. Conversely, we're seeing some interest in names such as Energous (WATT) , Lannett (LCI) and OraSure (OSUR) , but it's a real slog for the "hot money" that's been so aggressive with individual stock picking lately.
One group that looks particularly poor right now is the precious metals. Both the iShares Silver Trust ETF (SLV) and SPDR Gold Shares ETF (GLD) have taken out key technical levels and look quite poor. This is obviously a function of concerns about a more-hawkish Federal Reserve.
I've dumped a number of things that have broken down, but am maintaining small positions in some recent favorites like TPI Composites (TPIC) , Fabrinet (FN) and BioTelemetry (BEAT) . However, I want to track these positions for now and wait for the right set-ups before adding to my stakes.
All in all, we're seeing poor action today, but don't forget that Federal Reserve chair Janet Yellen's Jackson Hole speech is coming up Friday and the market loves to love the Fed. If we sell off more into Yellen's speech, you can bet that the dip buyers are going to be looking for entries on Friday.