On Tuesday, August 13th, we had a Day 6 follow through day (FTD) for Nasdaq Composite and S&P 500. It doesn’t mean that we are out of the woods, but it’s definitely a step in the right direction. From here, we don’t want to see any heavy distribution and we would like to see more growth stocks building proper bases. Again, please use some patience and allow for a new power trend to develop. I slightly increased my investment levels yesterday, but I don’t want to get too aggressive until the market continues to prove itself. In other words, I would like to see some sideways digestion on lighter volume and an ADDITIONAL FTD in the next week or so. Some stocks that are showing relative strength include: ISRG, META, LLY, NOW, TMDX and HALO. In the Semiconductor space, I like the recovery that’s developing in NVDA, TSM, and AVGO, as I think there’s still more room to go over the long-term in this space. I will discuss this in more detail in tonight’s MidWeek Video.
