The equity indices are down slightly Tuesday morning as they digest Monday's outsized gains. What is most notable about the action, however, is how quiet it is.
There is some excitement in the bitcoin/blockchain sector as the speculators finally are giving it another try, but I'm surprised at how dull the action is so far.
I am constantly looking for stocks that show large moves on increased volume and my list this morning was one of the shortest I've seen in a while. It isn't bad action. It is just extremely quiet. There is just very limited movement and no real notable pockets of strength.
Sometimes dull action like this can be good for trading as the very few movers tend to stand out and attract more attention, which creates momentum. However, you have to be highly selective to trade in this way.
One such stock on my screen this morning is Zynerba Pharmaeceuticals (ZYNE) . A few others are Kornit Digital (KRNT) , Sangamo Therapeutics (SGMO) , Riot Blockchain (RIOT) and Weight Watchers International (WTW) . My Stock of the Week, Viking Therapeutics (VKTX) , is showing some signs of life but there isn't much more out there.
The important thing is to not read too much into it. Maybe stocks are just resting for another move higher or maybe they are sputtering and running out of steam before they roll over. It is premature to jump to any conclusion right now.
I'll keep looking for action but it looks like some patience is required.