Markets put in another powerful week with the Nasdaq rising 1.8% and the S&P 500 by 1.5%. Each of these indexes have now CLOSED at their highs for the weekly ranges the last 7 weeks.The Nasdaq has risen 6 of the last 7 weeks (and the tech rich benchmark has now advanced 7 consecutive Fridays) and the S&P 500 has added ground 5 of the last 7, with the 2 down weeks falling by a COMBINED .25%. The naysayers are growing louder by the moment and a best friend of mine who is not a close market participant texted me mid week to say the market was on fore and my brother followed one up with the same sentiment on Thursday, so perhaps we are getting a bit long in the tooth. But of course price action is another animal and that is moving forward ant a smooth and steady clip, exactly what bulls would want to see. Looking at how individual sectors performed on a weekly basis, it was led by financials and healthcare which both rose by 2.9 and 2.5% respectively (energy was a clear laggard off by 1.8% and sentiment in that particular group is beginning to feel very heavy). The XLE is lower now 8 of the last 10 weeks, yet lower by just 8% off most recent 52 week highs. Technology has been grabbing the spotlight and continues to as the Nasdaq is at all time highs and the XLK is on a current 11 session winning streak. The sub sector that has been doing most of the heavy lifting are the semiconductors. The SMH is higher 26 of the last 34 weeks and this weeks move could be interpreted as a 3 week tight breakout as they prior three all CLOSED within just .51 of each other. All the noise has been centered on NVDA, but that stock may have put in a double top at the round 120 number and is off a quick 11% from recent all time highs, including a bearish gravestone doji week ending 2/10. The creme of the crop may now be handed over to Broadcom as AVGO as that name is right at all time highs and this week took out a 3 week tight trigger of its own as the last three all CLOSED within .64 of each other. Retail names have started to look like they may be breaking from their recent malaise and a recent IPO that is certainly worth keeping an eye on is ELF. Below is how we presented the newly minted IPO in our Tuesday 2/14 Game Plan. Many individual names that will be reporting this week include HD M JWN JCP WMT KSS GPS and FL.
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