It is a summer Friday, and traders are looking a little tired after a good week. The focus is still on individual stock picking, and breadth is still solid, with about 5000 gainers to 2800 decliners. There are over 430 new 12-month highs, but the list of 10% movers is a bit short with just a few dozen names.
The DJIA is leading today with a gain of 0.7%, which is due mostly to strength in Nike (NKE) , which jumped 14% on good earnings.
The action is a bit choppy and sloppy due to the Russell Index moves at the close. The way that these index additions are handled is that brokers accumulate the shares over the course of days or weeks using a variety of methods, and then the blocks are transferred to the index funds at the close. There is no easy and obvious way to game this action, but it will cause some random movement at the bell.
Xeris Pharmaceuticals (XERS) finally moved out of a trading range and was stopped at its 200-day moving average. I'm looking for another push there quite soon and am adding shares. TaskUs (TASK) , which was my stock of the week, is breaking out to a new high, and recent favorite AMMO POWW continues to ramp up into the Russell addition.
The action is slightly weaker today, but that is exactly what you want to see after a good week. This is a nice-looking uptrend right now, and I see no reason to start anticipating major problems.