Markets closed Thursday higher, but a late afternoon selloff kept them from finishing at their highs for the day. The Nasdaq outperformed the S&P 500 by almost a double today gaining .7%. It had been up more than 1% earlier in the day. For those keeping a close eye on the rotation into tech the Nasdaq is quickly gaining ground on a YTD basis. Going into Friday the Nasdaq is up almost 1% for the week, and has closed the gap in the YTD performance versus the S&P 500 to a 1/2 percentage point. The rotation out of defensive names continued today, starring KO, which 50 day SMA fizzled, pun intended. HRL played a good co-starring role, meeting stiff 50 day SMA resistance today. Banks were strong today as the XLF rose more than 1%. Perhaps a good tell was JPM’s 1% advance on the nasty outside day last Wednesday demonstrating solid relative strength. Breakouts have been harder to locate as of late, but today CFN has a beauty, busting out of a 35.71 flat base trigger.
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