The indices are trading close to flat Wednesday morning, and breadth is just OK with around 4,300 gainers to 3,200 decliners, but there continue to be some aggressive pockets of trading. While the positive action is not as widespread, and there are some quick reversals, stock-pickers are on the prowl and looking for the next "hot" name.
My list of stocks up more than 10% is about a quarter of what it was Tuesday, and there aren't many names trading at day highs, but stock-pickers are still very active, and things can pop quickly as attention shifts from one name to the next.
Meme stocks have lost some energy with AMC Entertainment (AMC) and Wendy's (WEN) taking hits, however, I think this is primarily a function of rotation into other speculative names that are making bigger moves and attracting more attention. One of the puzzling things about meme trading is how traders will stick with certain stocks for months, even when there is better action in other places.
I've been very busy making some quick trades this morning. Some of my longer-term favorites like Ammo, Inc. (POWW) , Aurinia Pharmaceuticals (AUPH) , Enthusiast Gaming Holdings (EGLX) are doing well. I'm closely watching CM Life Sciences (CMLF) , which is trying to close a SPAC acquisition this quarter. It is one of the few SPACs that has not traded at NAV recently and seems to have interest due to an attractive valuation.
We had some unusually robust action on Wednesday and will need to be more selective today, but the stock-picking action still looks generally positive, and I expect that to continue.