The U.S. market is in a Confirmed Uptrend. The S&P 500 and Nasdaq traded relatively flat this week, consoli-
dating the last two weeks of gains. The S&P 500 now has four distribution days with two expiring next week,
while the Nasdaq has six distribution days with three expiring next week. Leading ideas continue to show con-
structive action with multiple ideas hitting new highs despite sideways trade in the major averages. Earnings will
continue to play a big role over the next few weeks, driving market direction. Thirty-percent of the U.S. Focus List
reports next week, followed by 25% the week after. We maintain our positive view on the general market due to
a declining distribution day count and good technical action in the major averages and leading ideas alike.
Stocks on our U.S. Focus List: Current Sentiment
Our USFL of 68 ideas gained 0.9% on average this week, outperforming the S&P 500 (+0.02%) and the
Nasdaq (-0.07%).
Actionable Focus List ideas: Activision Blizzard ( ATVI ), Arista Networks ( ANET ), Calavo Growers ( CVGW ), Dia-
mondback Energy ( FANG ), Fleetcor Technologies ( FLT ), Global Payments ( GPN ), Home Depot ( HD ), RingCentral
( RNG ), SS&C Technologies ( SSNC ), Unitedhealth ( UNH ), Worldpay ( WP )
USFL ideas weekly earnings line-up:
Monday: Close: GOOGL, ZION
Wednesday: Open: FLIR, GRUB, MKTX, NEP; Close: ALGN, MPWR, NOW, PYPL, V, VRTX
Thursday: Open: ABMD, MA, TAL; Close: AMZN, EW, SIVB, TEAM
Friday: Open: TYL
By Sector
Health Care ideas on the U.S. Focus List led this week. IDXX, ILMN, ALGN, PRAH, EW, and VRTX are all trading
at or near new highs. UNH pulled back post earnings, but found support at its 50-DMA. Banks also did well this
week, though most just held the lower end of support levels and are now attempting to build the right side of
new bases. TCBI and WAL reacted positively to earnings, while ZION and SIVB both report next week. After two
solid weeks of gains, Software ideas held up well with a handful moving back into new highs. ATVI, RNG, and
SSNC provided new buy points after breaking out of new bases, while RP and PAYC both regained their respec-
tive 50-DMA. Conversely, Energy ideas have lagged over the last few sessions. FANG remains above its 50-
DMA, however, WRD and CLR are now trading more than 10% off highs and around their respective 100-DMA.