We have an energetic open -- and it is starting to feel a bit frothy. Breadth is robust again, with over 4,800 gainers to just 1,350 decliners. New 12-month highs are hitting 230 and the biotechnology sectors is leading once again.
One curiosity is that despite the very strong breadth, there aren't many big-percentage gainers. I only have about five names up over 10% on the day. Biotechnology is the leader, with names like Bluebird Bio (BLUE) , Sangamo Therapeutics (SGMO) and Juno Therapeutics (JUNO) leading the charge.
With the market going straight up over the last 48 hours, the entry points are becoming increasingly difficult. Also, even if you are a reactive trader, it is hard to ignore the fact that the week after Labor Day has an extremely poor track record. This has been a much more interesting August than many, including me, had anticipated, but the setup for negative seasonality in September is going to entice some bears.
I've cut a few positions and haven't made any notable new buys today. I'm tightening up my stops on positions and am inclined to make some premature sales after a good run.
The computer buy programs are still pushing and it is easy to underestimate them but I'm leaning toward protecting gains now rather than trying to find new entry points.