For a week now, the market has been seeing trading range action with a generally positive bias. That is continuing Monday as market players look ahead to the Federal Reserve interest rate decision on Wednesday afternoon.
Breadth is running positive, with about 3,900 gainers to 2,900 decliners and around 175 new, 12-month highs.
The FAANG names are seeing interest, and retailers continue to show good relative strength.
While it is rather sedate action, I'm seeing some good stock-picking action. Some recent buys like Smartsheet Inc. (SMAR) , Zix Corp. (ZIXI) , CymbaBay Therapeutics, Inc. (CBAY) and ReWalk Robotics Ltd. (RWLK) are of interest.
The Walt Disney Co. (DIS) is pulling back on weak coverage from an analyst, but I'm inclined to add to this position. Technically it is on the verge of a cup-and-handle breakout, and with its move into the streaming business, it now has an interesting catalyst. It has impacted the way the Netflix, Inc. (NFLX) trades and that hints at some interesting potential.
The bulls are walking this market slowly higher within the trading range, but as the Fed announcement approaches on Wednesday, there will be more positioning action.
For now enjoy the trading, but keep a wary eye on how things develop with the Fed.