The gyrations continue, but in a tighter range today.  The same issues are moving the needle, with comments that Theresa May would dissolve the Brexit council erasing an early rally attempt, then positive comments from President Trump on a potential China deal sent stocks higher. 

I’m also intrigued by the reverse head and shoulders chart formation developing, this is one of the best technical buy signals. I don’t think big money moves in a substantial way until certain resistance points are eclipsed, for the Dow that might be 26,191.

Dow Jones Industrial Average

Chips Ahoy

I have to say, it’s a very compelling session, right now only two sectors are lower, and even tech is trying to stay in the plus column.  Semiconductors were supposed to crush technology today, but the biggest winners are all chip names:

• KLAC
• QCOM
• QRVO
• LRCX

Even Applied Materials (AMAT) is higher, climbing more than three dollars off its intraday low.   There’s still a defensive tone to the session, as utilities and real estate are the best performers.

Energy is looking better led but Permian Basin stalwarts EOG Resources (EOG) and Concho (CXO).

Have a great weekend.