Alex's daily Market update & Focuslist - 01/03

Pullback underway, with ST momentum oversold & potential support levels within reach.

Enjoy tonight’s report!

Alex ✌️

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Tonight’s daily report content

• PrimeTrading Market Model #PTMM + Takeaways

• General Market Analysis: NASDAQ - S&P 500 - RUSSEL 2K - OTHERS, including my daily levels & my bullish and bearish scenarios

• Market Internals

• Sectors & Themes Analysis

• Daily Focuslist including setups, alert levels & explanation (long & short)

• Leaders list + Scans (technicals, fundamentals & potential TMLs)

• My Portfolio Update

• Economic Calendar

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PrimeTrading Market Model #PTMM + Takeaways

PTMM is on a GREEN market signal (🟩)

Key Takeaways:

• RED SIGNAL

• MCSI hooked down + PTHL rounding

• Good distribution day with GDB at -640

Momentum indicators:

• Extreme negative momo today at 0.05

• Extreme 5-day ratio at 0.13 (Due to low volume holiday trading too)

• The 10-day ratio turned negative today

Today's selling gave us the model RED signal, but ST momentum & breadth are getting stretched and oversold, so a reaction bounce would make sense at that point. Where we’ll go from here will give us a lot of clues about the depth and duration of that pullback/consolidation, but right now, we first need to see where we find some intermediate support.

MCSI hooked down today, along with PTHL dangerously rounding down. These 2 are undoubtedly cautious signs.

That said, I consider the bigger picture: with every MT & LT indicator of the PTMM model still green, I see this PB as a buying opportunity.

We also see sound setups like LLY PDD SMCI, etc. decoupling, and still setups working like that while major indices are correcting for 3 straight days is telling me this is potentially a healthy pullback.

I remain cautious, especially if we see an ST bounce and hard rejection on the rally attempt.