Traders typically anticipate that a significant gap open on Monday morning will be sold. It usually is the smart move to take some profits if you have been doing some bottom fishing in weak action, but in recent years, this tactic has not worked as well as it used to.
More frequently, we have seen 'gap and run' action when the market doesn't offer any pullback, and then the fear of missing out starts to heat up and causes underinvested bulls and mispositioned bears to chase.
What is most significant about the action so far is the extremely strong breadth of about 6800 gainers to less than 900 decliners. It is a sea of green out there, and so far, there are no pullbacks. There are only about 200 stocks hitting new 12-month highs, which is quite light, but that is what happens after the corrective action we saw last week.
Market players are trying to put money to work, and this market is not making it easy so far. We have the makings of a 'trend day' to the upside, which is really going to stir up some FOMO if it happens.
I'm focused on individual stock picking, and some of the best names on my screen so far are Elys Game Technology (ELYS) (which is my stock of the week), Bitcoin (GBTC) , Ocul (OCUL) , AMMO (POWW) , ReneSola (SOL) , Green Thumb (GTBIF) , Canaan (CAN) , etc.
There is an oversupply of positive action right now, and it's a bit overwhelming, but there is no selling pressure at all, and the longer this continues, the more anxiety there will be about being underinvested.
I'll be digging for more buys as the day continues.