Price: Chopping Around, Internals: Bad Breadth, No Volume
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Since Monday morning’s gap up, the S&P has gone nowhere. In fact, we’ve been trading within a narrow 50 basis point range between 4,068 and 4,086. Tom Hearden characterized Tuesday as a “snoozefest” and yesterday was more of the same with the S&P +0.15%, NASDAQ -0.07% and Russell -1.60%.
Big Tech continues to lead the market with the S&P Tech Sector ETF (XLK) +0.53%. Because it is the biggest sector in the S&P at ~27%, strength here can cover weakness in a lot of other areas. And the biggest of the big were even stronger than the sector as a whole with Apple (AAPL) +1.34%, Amazon (AMZN) +1.72%, Microsoft (MSFT) +0.82%, Google (GOOGL) +1.35% and Facebook (FB) +2.23%.
If we dig into market internals, we see bad breadth once again and no volume. NYSE + NASDAQ Advancers to Decliners Wednesday were 2,693 (35% of all securities traded) to 4,762 (62%). In addition, Wednesday was the lowest volume day of the year for stocks according to @Not_Jim_Cramer.