There is a slight reversal of Monday's action taking place so far today. The indices are stronger, but the pockets of momentum in secondary stocks are weaker. Traders are still looking for action but have fewer than 20 stocks moving up 10% today versus four times that number yesterday.
Sectors like oil and banks are better, but cryptocurrencies have reversed to the downside, and the FATMAAN names are mixed.
It isn't bad action, but the trading action was better on Monday while the indices struggled than it is today, with the S&P 500 back in new-high territory and breadth running 4200 advancers to 3450 decliners.
I'm primarily managing positions so far and have not done anything very significant. I am looking to build a position in Fisker (FSR) after very bullish comments from Morgan Stanley, which has set a $40 target and has a $90 bullish case target for the stock it calls its 'highest-rated de-SPAC EV startup".
I am in no rush to buy FSR, but I believe this will be one that will offer some good opportunities on pullbacks.