Despite all the noise, the major levels held. The primary uptrends stayed intact. Buyers stepped in exactly where they needed to — and now the stage is set for a potential year-end rally.
When the tape gets choppy like this, I always look to the sectors that act as real telltales for the broader market. And right now, two groups stand out: Industrials and Communications.
Industrials are the most diverse sector in the entire market — transportation, construction, machinery, logistics, you name it.
Because they touch so many parts of the economy, they also have one of the highest correlations to the major indexes.
They’re the “generals” for a reason. If Industrials are holding up, the rest of the market usually isn’t far behind. And right now, they’re doing just fine.
Then you’ve got Communications — which, let’s be honest, is just a clever way of calling Google, Meta, and Netflix not tech stocks so the indexes don’t look even more overweight tech than they already are.
But labels aside, the message is the same: the index is holding up beautifully.
There’s zero evidence that this bull market is fading. If anything, the trend is still very much intact.
And we’ve been positioning accordingly.
We’re continuing to look for stocks to buy to participate in the sector rotation we keep seeing week after week.
JC Parets just held our Monthly Strategy Session, which ASC Premium members can watch here.
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