We have choppy action this morning as the market continues to consolidate. Breadth is almost exactly even, and there are a few more new 12-month lows than highs. Pockets of momentum are narrow, with a couple of dozen names up more than 10%.
There is some speculative action in deSPACs and some 'junk' names, but it is not widespread. Small-caps and growth names are relatively weak. ARK Innovation (ETF) (ARKK) has rolled over, and breadth in that ETF is one gainer to 34 decliners. The only name that is up is Tesla (TSLA) , and that is barely holding on.
None of this action is that significant. It is just profit-taking and consolidation after a good run. We need to stay patient and see when some support levels form.
I have some oil names on my radar, which include Northern Oil and Gas (NOG) , HF Sinclair (DINO) , and Dorchester Minerals (DMLP) . Oil has been jerked around quite a bit lately, but there is no doubt that some of these companies are racking up some significant profits.
The cannabis sector continues to struggle to find a low, but a couple of small 'infrastructure' plays I'm watching are AgriFORCE Growing Systems (AGRI) , CEA Industries (CEAD) , and urban-gro, (UGRO) , which should move on upcoming earnings.
I'm also keeping an eye on Bitcoin miner Hut 8 Mining (HUT) , which is lagging the recovery in Bitcoin.
(Please note that due to factors including low market capitalization and/or insufficient public float, we consider AGRI, CEAD, and UGRO to be a small-cap stock. You should be aware that such stocks are subject to more risk than stocks of larger companies, including greater volatility, lower liquidity and less publicly available information, and that postings such as this one can have an effect on their stock prices.)