The corrective action of the last few days seems to have been completely forgotten today. Small-caps are leading with a bounce of around 2.25%, while the S&P 500 is up only 0.4% but never corrected as deeply. Breadth is superb, with nearly 6000 gainers to 1650 decliners. New 12-month highs are still far below recent levels of 1500 or more, but that is to be expected after the recent pullback.
The good news is that stock pickers are very active again after the short rest. I'm trying to put some more cash to work and am looking for setups that should develop next week. I believe that the corrective action of the last couple of days is a 'pause that refreshes' and should be a platform for some good technical action.
Bitcoin (GBTC) is back in gear, and that momentum looks sustainable. One crypto name I added this morning is Mogo Finance Technology (MOGO) . Cannabis stocks are back up, and I am looking to add to my position in Village Farms (VFF) , which is consolidating well around the $17 level. Another name in the group that I am building after a pullback is Agrify (AGFY) which provides indoor growing equipment often used for cannabis applications.
A name that we caught for a big move back in January is setting up again, and I'm rebuilding a position there. AMMO, Inc (POWW) had a solid report and is working on an attractive acquisition that should close in the next couple of months.
The gambling group also looks good, and I have three names that I'd like to build further: Elys Game Technology (ELYS) , Esports Entertainment (GMBL) , and Bragg Gaming (BRGGF) . Some progress on gambling legislation in Canada is particularly beneficial for both ELYS and BRGGF.
The poor action of the last couple of days had the positive effect of creating some better technical setups. I'll be looking for more buys into the close.