Mark Newton CMT

Global Head of Technical Strategy-Fundstrat; Analyst/Trader, Frequent Commentator-CNBC, FOX, Yahoo Fin.

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[Mark Newton CMT @MarkNewtrnCMT]

Despite $QQQ having broken June and July lows, we saw healthy gains in sectors like Healthcare, Financials, Utilities and Industrials ($XLI shown here)

Many parts of Aero/Defense starting to rebound along w/ many Transportation names w DJT

@IBDinvestors @marketsurge #IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

Korn Ferry $KFY has pushed up aggressively in recent weeks to test the highs of its larger 5-year consolidation base. @marketsurge @IBDinvestors

Volume has expanded in the last month & this Commercial Staffing Svcs stock will be one to keep .

Part of #IBD MarketSurge Growth 25

[Mark Newton CMT @MarkNewtrnCMT]

$ADM back up to highest since 2023

While most of Materials has proven choppy of late given precious metals weakening as real yields lift, Food stocks like Archer Daniels Midland continue to push higher the longer the Strait remains.

$ADM @IBDinvestors @marketsurge #IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

No, this #Crude rally shouldn't last too much longer, but today's move was a short-term positive that could lift front-mth WTI up to the mid-80's before it peaks.

Growing closer to the end of this July bounce which means that some good news is around the (#CrackIsWhack) $XLE

[Mark Newton CMT @MarkNewtrnCMT]

Transports made some good progress this week despite the Tech wreck growing more pronounced.

As discussed in last night's report, the stealth consolidation hasn't resulted in uptrends being violated for Equal-weighted SPX which made new all-time highs yesterday & still a lot

[Mark Newton CMT @MarkNewtrnCMT]

IBM plunge might have caught many off-guard, but there were certainly signs of $IBM starting to trade a lot more erratically as of early last year beginning with a series of deep retracements https://t.co/zJF2UGMcnN

Then, the IBM pullback. @IBDinvestors @marketsurge
#IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

We'll see what's more important as Bank Earnings face off vs. CPI tomorrow am. Long-dated yields have begun to press higher in US, Financials have outperformed sharply since early June & widely expected superb trading revs while IPO's and @marketsurge @IBDinvestors #IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

Computer Networking now making its move & ranked #3 by #IBD out of 145 sector rankings @Marketsurge

While i continue to advocate selectivity within Tech given the extent of the deterioration in recent mths, it's encouraging to see stocks like $ANET $RDWR $EXTR play #IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

$EWY short-term technical setback on Memory woes from the likes of Samsung, Hynix have begun to cause ripples in US Semi space ahead of this week's SK Hynix listing.

Fortunately, markets have been able to absorb this weakness given the strength in @IBDinvestors @marketsurge

[Mark Newton CMT @MarkNewtrnCMT]

Following a lost decade, we're finally seeing some of the large-cap Biotech stocks like $BIIB participate in this move in HC which had been primarily small-cap driven in XBI

Note that this not only has exceeded prior lows from '22 but also

@IBDinvestors @marketsurge #IBDPartner

[Mark Newton CMT @MarkNewtrnCMT]

Bifurcation in Tech? No Problem. Tech continues to show minor consolidation, bit by bit, Software, then Mag-7, now Memory/Semis. Yet has done so in a way where market indices have largely avoided weakness

Great recover https://t.co/82FN3JlRjF

@IBDinvestors @marketsurge

[Mark Newton CMT @MarkNewtonCMT]

Korn Ferry $KFY has pushed up aggressively in recent weeks to test the highs of its larger 5-year consolidation base. @marketsurge @IBDinvestors

Volume has expanded in the last month & this Commercial Staffing Svcs stock will be one to keep a close eye on.

Part of #IBD MarketSurge Growth 250

[Mark Newton CMT @MarkNewtonCMT]

$ADM back up to highest since 2023

While most of Materials has proven choppy of late given precious metals weakening as real yields lift, Food stocks like Archer Daniels Midland continue to push higher the longer the Strait remains not fully open.

$ADM pushed up to the highest levels in nearly three years last week, so while many continue to keep a close eye on Tech into earnings, it's important to keep an eye on the Foodstuffs as the Grains push higher. Rotation, rotation, Rotation @IBDinvestors @marketsurge #IBDPartner

[Mark Newton CMT @MarkNewtonCMT]

No, this #Crude rally shouldn't last too much longer, but today's move was a short-term positive that could lift front-mth WTI up to the mid-80's before it peaks.

Growing closer to the end of this July bounce which means that some good news is around the corner which should take Crude back down towards the lows, in due time . For now, as discussed in reports, Refiners remain the best part of Energy and have made many people new-found Crack spread experts (#CrackIsWhack) $XLE

[Mark Newton CMT @MarkNewtonCMT]

Transports made some good progress this week despite the Tech wreck growing more pronounced.

As discussed in last night's report, the stealth consolidation hasn't resulted in uptrends being violated for Equal-weighted SPX which made new all-time highs yesterday & still a lot of great areas of the market outside of Tech which haven't been dragged lower.

Thankfully, the rotation out of Tech directly followed the steep runup, so Financial media calling this a Bear mkt in Semis is a bit laughable w/ SOX still up 65% this yr. Given that the correction in Tech has happened bit-by-bit is actually quite helpful for the broader mkt, so i'll discuss my thinking on $SPX in tonights piece and what areas are important

For now, important to showcase TransportationTrucking, one of the strongest sectors right now in #IBD universe @marketsurge @IBDinvestors Have a nice weekend All

[Mark Newton CMT @MarkNewtonCMT]

IBM plunge might have caught many off-guard, but there were certainly signs of $IBM starting to trade a lot more erratically as of early last year beginning with a series of deep retracements https://t.co/XW54gpjWXm

Then, the IBM pullback from Nov '25 into May '26 overbalanced in time & undercut the last major Swing low. Despite a subsequent robust shakeout back to new highs, the broader structure had already begun to weaken quite a bit in morphing from an intermediate-term bull into more of a multi-yr sideways pattern & monthly MACD rolled over to negative early this year.

Volume also began to show much greater signs of distribution & spiking on many of the "down" days in recent months. It goes without saying that $212 now becomes critically important, though right above a 50% retracement of the low-to-high range since '20. No position & important to let this stabilize before trying to be the hero. @IBDinvestors @marketsurge
#IBDPartner

[Mark Newton CMT @MarkNewtonCMT]

We'll see what's more important as Bank Earnings face off vs. CPI tomorrow am. Long-dated yields have begun to press higher in US, Financials have outperformed sharply since early June & widely expected superb trading revs while IPO's and deal flow remain at multi-yr highs

Note, the Financials trade isnt just about big investment banks anymore as Commercial banks, Regionals, Insurance have all come to life lately.

A very helpful part of the market outside of Healthcare at a time when Tech has been consolidating, bit by bit
A benign CPI coupled with a non-revealing Warsh would likely take July off the table & make Sept the odds-on favorite @marketsurge @IBDinvestors #IBDPartner

[Mark Newton CMT @MarkNewtonCMT]

Computer Networking now making its move & ranked #3 by #IBD out of 145 sector rankings @Marketsurge

While i continue to advocate selectivity within Tech given the extent of the deterioration in recent mths, it's encouraging to see stocks like $ANET $RDWR $EXTR play catchup to the CSCO, DGII of the world #InvestorsBusinessDaily

I find these multi-week base breakouts partcularly constructive as SPX is on the verge of its own triangle breakout #IBDPartner

[Mark Newton CMT @MarkNewtonCMT]

$EWY short-term technical setback on Memory woes from the likes of Samsung, Hynix have begun to cause ripples in US Semi space ahead of this week's SK Hynix listing.

Fortunately, markets have been able to absorb this weakness given the strength in Financials, Industrials, HC in recent weeks & Tech weakness has happened in waves starting last year, not all at once.

I agree with those Fundamental types talking about a mid-cycle slowdown only, not the end of the line for Memory. @IBDinvestors @marketsurge

Yet these names have fallen out of favor & require some necessary stabilization & base-building now to help momentum start to turn back higher. Fortunately, w/ DJIA, $RSP having hit new all-time highs today, there are plenty of sector choices which offer countless ideas for those who might be too top heavy in NVDA.

Visit https://t.co/v0f4RME3on for Technical notes and videos which can help you make sense of this rotation & how long it might last- We're adding a technical screener to our RIA tool to allow investors to see how my way of looking at things would rate your holdings. Stay tuned.

[Mark Newton CMT @MarkNewtonCMT]

Following a lost decade, we're finally seeing some of the large-cap Biotech stocks like $BIIB participate in this move in HC which had been primarily small-cap driven in XBI

Note that this not only has exceeded prior lows from '22 but also prior lows from '16 & volume proved above-average on the most recent surge in June

While most might be trying to bottom-tick Semis, important to note that Financials, Industrials, and yes, Healthcare pushed up to new all-time weekly high closes, making a balanced approach prudent given how bifurcated Tech has become

@IBDinvestors @marketsurge #IBDPartner