Remember the Alamos

Slight relative strength in tech and medical tech stocks this morning is helping to cushion the blow of a sharp move lower in the Dow. In fact, as I write this the IGV and HACK (enterprise software and cybersecurity sector ETFs, respectively) are either flat or green. 

That said, I suspect a bunch of even the mightiest of software names may need a few more days yet to firm up recent consolidations before attempting fresh, sustained breakouts. As one of our Members noted, OKTA is a standout this morning, surging 4.6% at the moment, up and out of a long base. But plenty of other software growth stocks will need to follow suit for there to be a more convincing move. 

In the meantime, gold miners are back in play after last week's shakeout. Alamo Gold, below on its daily timeframe, is a holding in the GDXJ (junior gold miner ETF) and is just one example of the type of price action the group has seen since last week--A sharp move down early/mid-week followed by buyers stepping in ever since. I want to see if that continues in order to keep adding back exposure to the sector. 

Returning to the QQQ, ETF for large cap tech, as long as bulls keep holding $182.80 it is tough to view even soft mornings like these as precursors to larger selloffs. Mornings like these seem better suited towards identifying inter-market opportunities as well as honing in on relative strength performers in software and medical technology more than anything else.