Can the Bulls Rest Before 2026?
Hello TheoTrader, It's the final trading week of 2025. Both the S&P 500 and the Dow closed at their highest weekly levels in history again on Friday. This is bullish price action. Full stop. Overall, it was a year dominated by the tech sector. If you didn't own tech, your odds of outperforming were very…
The Q4 Sector Scorecard
Hello TheoTrader, Holiday trading is in full swing, but I'm not giving much weight to the Santa Claus Rally period right now. My focus is on where capital rotated this quarter at the sector level. With only three trading days remaining in 2024, the Q4 data is essentially complete—giving us a meaningful foundation to assess…
Santa Just Bought Off the Bears
Hello TheoTrader, Last week was a reminder to never count your chickens before they hatch. Up until around Thursday, it looked like bears had seized the initiative in the tape. But back-to-back strong days for the bulls completely flipped the script by Friday’s close. The strength of the rebound was further confirmed from the leadership…
2026: A Year for the Consumer Comeback
Hello TheoTrader, As major stock indices continue to chop around near their all-time highs, the sector rotations underneath the surface have been telling a compelling story. You better not be betting against the consumer going into 2026. The CPI data from earlier in the week came in way cooler than expected. Crude oil prices are…
Move Over Tech, This Sector is Leading the Way
Hello TheoTrader, A bit of chaos crept into the tape last week. The Dow Jones Industrial Average soared to a new all-time high. Yet, technology, which drove most of the rally, lagged behind. So, is this the start of another round of market turbulence, or just a healthy bull market rotation? The new sectors on…
A New Dawn for Small Caps
Hello TheoTrader, The Fed cut rates this past Wednesday by 25 basis points, as expected. There's little unity among board members about what to do next. I'll let the pundits handle that discussion. Today, I want to share how this latest cut is bullish for small cap stocks, which we track via the Russell 2000.…
Bears Are on Santa’s Naughty List
Hello TheoTrader, For those not paying attention, both the S&P 500 and Dow Jones Industrial Average closed at their highest weekly level in history. Although the Nasdaq didn't close at a new record last week, there were major positive internal developments in the tech-heavy index. Bulls are putting themselves in a strong position as Santa…
Bulls Go Holiday Shopping
Hello TheoTrader, Stocks staged an incredible rebound over the last week after our setup for a low played out accordingly. The importance of this rally cannot be understated, as it staved off what could have been a devastating close on the monthly time interval. I’m also pleased with the new leadership I saw last week,…
3 Gaming Stocks That Are Breaking Out
Hello TheoTrader, The Trinity Terminal is flashing a new sector theme for 2026: gaming and gambling stocks are waking up after a multi-year slumber. And there are three names I have my eye on. Why now? Americans are gambling more than ever. Turn on any sporting event and half the commercials are DraftKings, FanDuel, or…
What Bulls Need to See to Confirm a Bottom
Hello TheoTrader, Save for Friday’s solid bounce, the carnage in a lot of the high-flying growth names that led the charge earlier this year continued. It’s looking like the blood bath is nearing its end, but another sector that I’ve highlighted continued to excel. That sector is healthcare, and it actually went into the weekend…