We have some 'gap and sit' action with stocks holding on to early gains but not gaining any additional momentum so far. Breadth is solid at better than 3 to 1 positive but market players are not yet ready to believe that the recent selling pressure has ended. The development with Huawei is positive but it doesn't change the bigger issue which is a China-U.S. trade deal.
One of the difficulties right now is that there isn't any good reason to trust that positive technical patterns are going to lead to sustained moves. We have classic trading range action right now with dips being bought and strength being sold. It is necessary to use much shorter time frames if you are hoping to capture some gains.
What we have to watch for at this point is how well the opening gap holds. The longer it holds the more likely that more buyers will inch in out of concern that they will be left out of further upside. If the indices start to fall into the gap then the short term flippers will take whatever gains they may have and move on. The FAANG names are mixed and that is not a good sign.
I continue to do very little. One name that is on my radar is Inseego (INSG) which is being promoted as a 5G and "Internet of Things" play. I'm not sure that is justified but it has some interesting price action.