Big Small-Cap View. Last Day to answer our One Question Small-Cap Community Survey: Favorite Stock for 2H’26. Respondents can see the current list along with each stock’s rationale after responding. We will publish the full list later this week. You can submit by clicking the link in today’s email.
Wave Watch: R2000 retesting its 50 DMA; 5th wave completion favors retesting Jan `26 high near 2745 and potentially filling the 2555 4/8/26 gap-up marking one year anniversary of post-Liberation Day low.
Sector rotation. Health Care and Tech maintain leadership despite ebbing momentum joined by surging Energy (which now looks to fade with yet another war pause) and Real Estate. Financials gained incremental ground but are beholden to whether Banks can break out – nominally near-term overbought, Banks would likely need a softer market to capture a leadership role. Consumer sectors yielded some ground while Industrials failed to regain momentum, holding near the neutral center. Utilities rallied while Materials is deeply out-of-favor.