Yesterday's broad participation surge did not hold. The market remains Neutral — Fading, but price weakness now joins the deterioration in advancing trends we have been following. Tomorrow's routine should start with reviewing damaged charts before expanding the setup list.
Technology's weakness deepens
Yesterday we flagged technology's failure to join the rally meaningfully. Today semiconductors fell 11.3%, and their Stage 2 share slipped from 32.1% to 30.2%. Micron Technology and Amphenol left Stage 2 for Stage 3 topping. Lumentum Holdings also moved into topping. Those changes deserve attention in existing watchlists. Across the market, 115 stocks moved from advancing to topping over five sessions, against 17 moving from basing to advancing.
Defense holds, financial participation turns
Consumer staples were the strongest sector today despite falling. Household and personal products edged up 0.1%, while grocery and discount stores each retained 44.4% Stage 2 participation. Healthcare plans also held their 70% advancing share. Financials supplied a change worth tracking: Stage 2 participation rose to 25% from yesterday's 23.6%, despite a 2.6% sector decline. Marsh and Cincinnati Financial entered Stage 2 from topping. The exchange pocket held its 81.8% advancing share, so the improvement now extends beyond the pocket we flagged yesterday.
Check the chart before trusting the list
The established-trend list still starts with Apple and NVIDIA, but their condition differs sharply. Apple sits 2.6% above its 50-day average; NVIDIA sits 17.7% below its own, with a setup score of 2.4 out of 10. Farther down that list, Johnson & Johnson is 2.5% above its average and Coca-Cola is 6.7% above. These are chart-review candidates, not a broad signal to act. Tonight, an established Stage 2 label alone is insufficient evidence of an intact swing setup.
| Stock | Sector | Setup | % 1D |
|---|---|---|---|
| Apple | Information Technology | 6.5 | -1.5% |
| NVIDIA | Information Technology | 2.4 | -9.3% |
| Eli Lilly | Health Care | 7.4 | -3.8% |
| ExxonMobil Holdings | Energy | 7.5 | -2.3% |
| Johnson & Johnson | Health Care | 6.5 | -1.4% |
| Chevron | Energy | 7.9 | -1.9% |
| Coca-Cola | Consumer Staples | 8.4 | -0.1% |
| Merck | Health Care | 5.6 | -2.3% |
| Sector | 1D | 1M | 3M | RS | Stage 2 |
|---|---|---|---|---|---|
| Consumer Staples | -0.5% | +13.1% | +9.4% | 72 | 28% |
| Utilities | -0.7% | +6.5% | +0.6% | 57 | 17% |
| Real Estate | -1.6% | +9.1% | -0.9% | 65 | 13% |
| Communication Services | -1.8% | -13.9% | -13.0% | 53 | 25% |
| Materials | -2.0% | -0.0% | -5.3% | 74 | 14% |
| Energy | -2.6% | -2.3% | +5.5% | 82 | 50% |
| Financials | -2.6% | +5.9% | -0.2% | 66 | 25% |
| Health Care | -2.7% | +9.4% | +12.5% | 75 | 36% |
| Consumer Discretionary | -3.1% | +4.8% | -2.0% | 54 | 21% |
| Industrials | -5.0% | -5.2% | -9.3% | 63 | 20% |
| Information Technology | -7.3% | -14.0% | -8.3% | 63 | 39% |
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.