Once again there isn't any major negative reaction to massive unemployment numbers. All the recent weekly reports have been taken in stride and have not caused any major selling.
The report Thursday morning wasn't as bad as expected but there are now 25 million continuing unemployment claims, which is going to have some repercussions even if the market doesn't seem to think so right now.
Although there is no selloff, the price action is lackluster this morning. Breadth is still quite good with 3,950 gainers to ,2950 decliners but the pockets of hot momentum have cooled and there doesn't seem to be the same sort of euphoria and froth we have experienced earlier this week.
The convention wisdom is that there is some inclination to take profits in front of a three-day weekend when there is a good run. That is likely to be the explanation if we have some softer action at this point.
My main focus right now is on stronger defense. After the recent run I want to keep accounts as close to highs as possible.
There are plenty of names that I'd like to buy but I will be trying to buy them on some dips rather than further strength at this time. A few good examples in the biotechnology sector are Aurinia Pharmaceuticals (AUPH) , Ocular Therapeutix (OCUL) , Personalis, Inc. (PSNL) , Kadmon Holdings (KDMN) , Schrodinger, Inc. (SDGR) , and Baudax Bio (BXRX) .
From a trading standpoint, a pullback right now would be ideal but the market is seldom that accommodating.