Stocks are following through on yesterday's bounce action. It is mild buying, but breadth is running 3950 gainers to 3350 decliners, and stock pickers appear to be more active. Confidence levels appear to be low, which is no big surprise after the recent downside moves, but the longer the indices can stay positive then the more likely that buyers will continue to edge back into stocks.
The FATMAAN names are all positive, while groups like financials and oil are weaker. The Russell 2000 ETF (IWM) is negative, but small-cap growth is outperforming small-cap value, which is the sort of rotation I was discussing this morning.
I've made a couple of small biotechnology buys, but I'm not deploying too much capital until I see some further developments. An example of the small biotech name I'm trading is Precipio (PRPO) and PDS Biotechnology (PDSB) . This sector seems to finally have shrugged off downside momentum and is looking much better.
One of my favorite smaller names, Ammo (POWW) , issued strong revenue guidance for the quarter ending June 30. This is still well under the radar, and there is an inclination for stuck traders to sell into strength, but this sort of improved action is showing up in a number of the smaller stocks I'm watching.
We have a steady uptrend in the early going, and the fear of missing out is going to build the longer it continues.