From the Desk of Steve Strazza @Sstrazza and Alfonso Depablos @AlfCharts
With earnings season underway, financials are making a statement this week.
The first few weeks of reporting are always heavy with banks and financial stocks. As these are the market laggards, we knew we would get some critical information from their earnings reactions.
While it hasn't been fireworks to the upside by any means, there also hasn't been much downside from these stocks.
It is never a bad thing if the bears can't take down the weakest stocks. That's what is going on right now.
Meanwhile, more and more bullish setups keep crossing our desk. It's all very constructive.
From the Desk of Steve Strazza @Sstrazza and Alfonso Depablos @AlfCharts
The market continues to shake off negative news as stocks react positively to incoming economic data and the Fed's actions.
Sure, banks are still a problem, and we need to watch them closely as earnings season kicks off.
But we can only give this price action from financials so much weight as the list of bullish developments in other areas continues to grow.
Overall, there are a lot more positives than negatives right now. And this proves true when we look through our universes, such as our Inside Scoop list.
We continue to see more and more bullish setups and stocks we want to buy come across our radar.