Breadth is still poor, oil and rates are still moving higher, and it remains a difficult market to make progress in. With that being said growth stocks look and are acting better than they have in months and I continue to get traction.
The question has been whether the rest of the market would follow the growth stocks higher or they eventually crack with everything else. Last week the leaders we've been focused on gave me more reason to stay with them. Semis followed through for a third week, and across growth I'm seeing more setups and tighter, more organized charts than I have in a long time.
In earlier attempts to resume the uptrend I would put on exposure but there wasn't a large amount of really high quality setups. Now there is much more structure to work with and I'm finding more setups than I have in months even though the broader market still looks poor.
William O'Neil taught us to watch the leaders and so thats what we must do. Growth is acting well in an environment where a lot isn't, and it's the part of the market that CAN lead a new uptrend.

