Hot Stock Market Action Under the Surface
The major stock indexes might be consolidating in a choppy range but lately it has been sizzling hot under the hood of the market:
- The software sector had one of its best weeks in 2020 with many names going up several days in a row and squeezing to new all-time highs again;
- Trade war or not, mid-cap Chinese ADRs were on absolute fire last week. Quite a few gained 15-20%. Will mega-cap Chinese stocks follow next week? Some of them are looking primed;
- Corona-virus related stocks woke up and jumped higher as we saw a significant uptick in new cases in several states and mask restrictions remain intact;
- Towards the end of the week, the major biotech ETFs broke out to new all-time highs again. So many biotech stocks showed incredible relative strength on Friday and are looking constructively for higher prices next week.
The market continues to provide incredible trading opportunities on a daily basis. Here are just a few of the ideas and comments I shared with subscribers last week:
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