Growth still holding uptrends vs. Value despite Tech softness

This is a midday update and will serve as Thursday’s “Newton’s Law” Daily update.  There won’t be a Friday report as I am traveling and will resume the normal schedule next Monday.

Minor weakness Thursday hasn’t caused much deterioration and US Market indices have bounced off early lows and remain positioned for a rally into the final week of April.  It’s my thinking that despite some slowing in this uptrend (along with breadth waning) trends can still work higher into next week.

Thursday’s key technical development involved some rolling over in Treasury yields on the heels of a stronger than anticipated Jobless Claims number.  This should result in yields starting to pullback to recent lows, and I’m anticipating that both Treasuries and Equities might be able to strengthen a bit more over the next week.

As discussed previously, however, Equity indices seem to be nearing a key juncture in both price and time where the “market” really has to prove itself to expect this rally can continue uninterrupted. 

The slowdown in Technology has not proven too damaging thus far and Growth remains trending up vs. Value (see chart in this report) Moreover, other sectors like Financials, Discretionary, Healthcare and Energy (outside of the last ...
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