Yesterday's breadth improvement paused, and advancing trends kept thinning. The market remains Neutral — Fading. Participation above the 50-day average eased to 46.4%, while the balance of entries into Stage 2 versus exits over five sessions stayed negative 100. Tomorrow still calls for selective chart screening rather than a broader search for exposure.
Keep the early watchlist selective
Northern Oil and Gas remains first on the early setup list, scoring 8.5 and sitting 10.5% above its 50-day average. BJ's Wholesale Club Holdings follows with a score of 8 and a 7.9% distance. These are candidates for chart review, not evidence that the market has cleared its hurdles. Energy exploration and production has 70% of its stocks advancing; discount stores have 44.4%.
Tech's rebuild has a fault line
The technology rebuild we flagged yesterday remains visible over 20 sessions, but it did not broaden tonight. Its Stage 2 share eased to 41.1% from 41.7%. Semiconductors gained 1.9%, with advancing participation unchanged at 35.2%. Semiconductor equipment gained 3.3%, yet only 14.3% of that group is in Stage 2. ASML Holding's move into topping is the warning against treating the rally as uniform improvement. MongoDB also left Stage 2 tonight.
Energy rebounds, but the review list grows
Energy reversed yesterday's selling and still leads sectors in relative strength and advancing participation. But its shrinking Stage 2 share, alongside SLB's move into topping, keeps the leadership test open. Separate the exploration and production pocket from equipment and services, where just 16.2% of stocks are advancing. Financials also continued to erode, slipping to 24.1% in Stage 2 from 24.4%. Existing-holdings review still deserves time before tomorrow's setup search.
| Stock | Sector | Setup | % 1D |
|---|---|---|---|
| Northern Oil and Gas | Energy | 8.5 | -0.2% |
| BJ's Wholesale Club Holdings | Consumer Staples | 8.0 | -1.6% |
| Marriott International | Consumer Discretionary | 7.8 | +1.1% |
| NorthWestern Energy Group | Utilities | 7.8 | -1.5% |
| Sunstone Hotel Investors, Inc. Sunstone Hotel Investors | Real Estate | 7.8 | -0.1% |
| Barnes & Noble Education | Consumer Discretionary | 7.8 | -5.1% |
| Black Hills | Utilities | 7.8 | -1.2% |
| Eli Lilly | Health Care | 7.8 | +0.5% |
| Sector | 1D | 1M | 3M | RS | Stage 2 |
|---|---|---|---|---|---|
| Information Technology | +1.1% | -1.0% | +10.5% | 71 | 41% |
| Communication Services | +0.7% | -6.2% | -1.4% | 62 | 30% |
| Energy | +0.6% | +10.3% | +13.5% | 85 | 56% |
| Health Care | +0.6% | +4.9% | +11.5% | 72 | 39% |
| Financials | +0.3% | +2.3% | -1.5% | 65 | 24% |
| Materials | +0.2% | -0.4% | +2.3% | 72 | 31% |
| Consumer Discretionary | -0.0% | +5.2% | +5.0% | 54 | 20% |
| Industrials | -0.2% | -0.2% | +2.8% | 65 | 20% |
| Consumer Staples | -0.4% | +7.0% | +3.2% | 66 | 29% |
| Real Estate | -0.6% | +1.6% | -6.5% | 60 | 9% |
| Utilities | -0.8% | +6.6% | -3.5% | 54 | 11% |
Work the same data yourself: open the full stock screener, see where money is moving on the sector rotation page, or check the market-timing read. New to the method? Start with the four stages.
Stage2Stocks is an educational stage-analysis screener. These wraps describe what the screen shows across US-listed stocks. They are not investment advice, recommendations, or buy/sell calls. Always do your own research.