The market internals actually remained positive, and only mildly weakened after Monday’s sell-off. However, the screened stock ratio, another view of the market internals, did turn negative at 11.4 to 5.4 favoring selling. Risk reverses back up to high.
We need to see some resistance to this negative news stories before we can make headway. I’d go back in "lite" mode for the day, hopefully INTC’s earnings news will give the market something positive to hang onto for Wednesday.
The auto parts makers, banks, insurance, education services and the wholesale club stocks were the strongest, I would shy away from techs.
Stocks on the watchlist that might be getting buying ahead of earnings: BBC (earnings report date July 26th), BEC (July 27th), CVD (July 25th), ESI (July 19th), HCA (July 23rd), JCI (July 18th), MVSN (July 30th), RBK (July 24th), YUM (July 26th).
Good Trading!!
Sam
savvy-trader.com |
