Snapback in Equities over the last couple hours largely followed a lift off the lows for Crude oil, USDJPY, TNX while 2 yr has moved back up above 90 bps, flirting with breakout levels near 92- Trend remains choppy near-term after push higher to test April highs,& little to no change over the last 4 days, where the rally has given way to consolidation, but really little to no weakness of any sort- Advancing issues narrowly besting Declining while volume still heavier in Down vs Up stocks- Key sector rotation happening back into Healthcare today with ENDP, MNK, MYL, AGN, BXLT all higher by more than 2% and signs of Biotech breaking above key downtrend line which should be important and positive for this sector going forward, with XLV needing a move back over 72.11 to help jumpstart this move.. Consumer Staples also higher today by nearly 0.50% as WFM, TAP, COST, KR, SYY higher by more than 1%. Telecom accounting for the worst losses in the major sectors with more than 1% decline, but most fairly muted. US Dollar continues to struggle in the near-term. No real decline but nearly a week spent hovering near 95.50. Commodities meanwhile have churned since early May, but no meaningful losses here, outside of the Metals as both energy and grains remain in good technical shape- Overall for S&P futures.. area near 2100-3 remains the key area to focus on for gains, on the upside while earlier lows at 2083 important, but doubtful to be tested. Expect that any further weakness proves muted before moving up above 2105 and challenges all-time high territory- Let me know if you have questions
The longer that indices hold up with no meaningful pullback, the greater the odds of a move straight up back to new highs into mid-June and/or early July. For now, equity indices fairly resilient.
Healthcare showing very good strength today and lies just shy of key levels which when overcome, will allow for some sharp upside acceleration in this sector on both an absolute and likely relative basis
Biotech ETF looks to be making a sharp move higher exceeding prior highs as well as getting back over key trendline resistance- This should bode well for this sector snapping back and relative charts won't require too much strength before beginning to show strong outperformance