Everyone knows that August's last week is likely to be slow, but that hasn't seemed to dampen the mood so far. Market players are quickly forgetting any worries they had about a more-hawkish Fed and are putting cash to work again.
Breadth is running about 2-to-1 positive, and we have more than 150 new 12-month highs. There are some pockets of momentum to be found and speculative traders are being aggressive.
The FANGs are doing well with the exception of Netflix (NFLX) . I discussed Facebook (FB) a week ago as one of the better looking big-caps, and it's testing some key resistance today at around at $126 a share. I'm inclined to add to my FB position if it can hold the $126 level into the close.
Some of the smaller-caps that I've discussed recently are also acting quite well today. For example, Lantheus Holdings (LNTH) is breaking out on big volume, while TPI Composites (TPIC) is bouncing after a pullback. Airgain (AIRG) -- my Stock of the Week -- is also up some 8% as I write this, while Acacia Communications (ACIA) continues to attract interest from momentum traders.
But as I discussed earlier this morning, one of my concerns is that we might be moving from a stocking-picking market to a macro-driven, market-timing environment.
That's not the case so far today, but things might change as we approach the very important August U.S. nonfarm-payrolls report on Friday and the long Labor Day weekend after that. But for now, I'm going to stay focused on stock picking and am looking hard for some new merchandise to add to the sheets.