Although there have been a few narrow pockets of positive speculative action the last few days, the indices have been dead and sentiment has been less positive. The likely cause is the "sell the news" reaction to China trade news on Monday that produced the first real negative response to positive news since the current uptrend began on Dec. 24.
Stocks continue to hold up fairly well but there has been choppiness and some landmines. Wednesday the selling is accelerating as breadth moves close to two to one negative. Relative strength in FAANG names is helping, although that is fading and one brief attempt at a bounce was quickly quashed.
I am taking stops and raising some cash into this action but there are a number of stocks I'll be looking to buy on weakness as they hit support. One example is Sarepta Therapeutics (SRPT) , which picked a very bad day on which to price a secondary offering at $144. The stock is now "derisked" as they say in biotech-land and should find some decent support eventually.
I have some others on my shopping list such as Bloom Energy (BE) and a number of biotechs that are getting hit hard, but there is no rush at this point.
The bulls have fumbled the ball and the bears finally have possession. We'll see if they can put some points on the board.