Peaceful Transfer of Power in a Range

On this Inauguration Day it is surely ironic that the major indices, mired in this historically compressed range, seem to be effecting a peaceful transfer of power between buyers and sellers on a daily basis. 

In other words, on a day-to-day basis we have seen rather peaceful alternating action, with little in the way of follow-through one way or the other. 

A brief survey of the action this morning highlights chip play SWKS surging after earnings, easily on the cusp of a meaningful weekly chart base breakout. IBM is reversing back to green after an initial earnings sell-off, and TWTR is at risk of a fresh rollover to multi-month lows after seeing yet another bounce soundly sold. In addition, UAA remains weak and will need to regain its footing with earnings in a few weeks.

As for fresh ideas, we are looking to see how the S&P 500 Index negotiates this 2274 level, the precise highs from yesterday's session. After a squeeze highs this morning, the "sell the new" thesis may be in play as we work through the Inauguration Day traditions and ceremonies. 

Moreover, several of our Members have been noting the relative weakness in biotechs--Both IBB XBI are red as I write this. 

Overall, there are certainly some stocks holding up and even setting up well in this choppy range. But my inclination is wade through the news-filled day into the afternoon before drawing too many conclusions about which side is truly prevailing.