The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq closed the week at or near new
highs and above all major moving averages, including near-term support along the 10- and 21-DMA. The dis-
tribution day count stands at six and four, respectively, with two days expiring on the S&P 500 next week.
XLV is trending into higher highs, remaining above both its 10- and 21-DMA. Its RS line is now rising versus the S&P 500
as a multitude of big cap constituents remain at highs post print.
We have also seen many secular growth ideas breakout in explosive fashion from six-month to year-long bases over the
past week including ALGN, DXCM, and RGEN among others. Continue to increase risk in these ideas as we believe
these breakouts will likely lead to trending action over the next several weeks to months
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq traded relatively flat for the week,
remaining within 1% of a new high and above near-term support along the 21-DMA. The longer-term lower end
of support remains the rising 50-DMA on both indices. Upside resistance is still along the rising upper channel
line which is above 4,500 on the S&P 500 and above 15,300 on the Nasdaq. The distribution day count stands
at six and three, respectively, with no expiration next week.
XLV gapped into another new all-time high last week after trading relatively flat for two weeks. Its RS line is still flat versus
a strong S&P 500 despite a multitude of big cap quality secular growth ideas also trading at new highs.
The majority of ideas are extended from ideal entry points, therefore we recommend a patient approach to adding risk.
Focus on high relative strength ideas as they form the right side of bases ideally in heavy volume, while also looking to
increase risk in leading ideas that constructively pull back to logical support.
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq rallied strongly off 50-DMA sup-
port early this week before gapping back to new all-time highs on Friday. Both are now pushing back toward
their respective upper channel lines, which are above 4,500 on the S&P 500 and 15,100 on the Nasdaq. Sup-
port is again the rising 10- and 21-DMA. The distribution day count declined to four and three, respectively, with
no further expiration for two weeks.
XLV traded relatively flat for a second straight week, outperforming the S&P 500. Overall, the ETF remains
constructive, holding at new highs above all major moving averages with quality growth ideas leading the
sector.
We would note that many of the larger cap ideas have now become extended from ideal technical entry points.
Remain patient as we head into earnings season and look for opportunity to add to positions on constructive,
low volume pullbacks to 21-DMA support.
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq pulled back to their respective 21-
DMA to close the week, with the Nasdaq closing just under that level of near-term support. Should weakness
persist, the next level of support on both indices is the rising 50-DMA, which may coincide with the prior
breakout highs. The distribution day count increased this week to five each, however, two are expiring on the
S&P 500 and three on the Nasdaq next week.
XLV traded relatively flat last week, narrowly underperforming the S&P 500. Overall, the ETF remains constructive,
holding at new highs above all major moving averages with quality growth ideas leading the sector. Megacap bellwethers
(DHR, EW, ISRG, LLY, ZTS) are hitting higher highs and driving the ETF higher.
Over the last month, Bioproduction/tools have handily outperformed the broader market, along with CRO’s, Medical
Devices and Managed Care. Conversely, Biotech, Generic drugs, and Drug distributors have lagged.
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq remain at all-time highs, continu-
ing to hold trend above all major moving averages despite relatively flat trade on the week. Near-term support
remains the 10- and 21-DMA. The upper channel line on the S&P 500 is now rising toward 4,500. The distribu-
tion day count stands at four and three, respectively, with no expiration next week.
XLV jumped over 2% last week, outperforming strong gains from the S&P 500 and remaining at new highs.
Megacap bellweathers ( DHR, EW, ISRG, LLY, ZTS ) are hitting higher highs and driving the ETF higher.
Bioproduction/tools remain the leading sub-sector.
Continue to focus on high quality ideas ideally from leading/improving groups that are emerging on the right
side of bases in heavy volume
