NDW Morning Pulse

Below are highlights from the NDW Morning Update Video for the morning of 10/15. Access the video on the NDW Morning Update Video page. 

• The Russell 2000 Index (RUT) led the major U.S. equity benchmarks lower on 10/15, declining 1.93%, followed by the S&P 500 Index (SPX), which fell 1.11%. The Dow Jones Industrial Average (.DJIA) was comparatively resilient, slipping just 0.09%.
• Although domestic equities remain in second place within the DALI rankings, the asset class has continued to steadily close the gap with first-place international equities. Since the start of October, domestic equities have reduced the signal-count deficit from five signals to just one, suggesting leadership is becoming increasingly balanced and that leadership may be shifting back toward U.S. markets.
• After reversing back into a column of Xs last week, the ten week for the S&P 500 (^TWSPX) has continued to tick higher, signaling an increase in near-term participation. However, the bullish percent for the S&P 500 (^BPSPX) and the percent positive for the S&P 500 (^PTSPX) remain in a column of Os, as the index still lacks longer-term strength.
• On the earnings front, a few major companies are expected to report earnings over the next week: Netflix Inc. (NFLX 0/5 TA Score on 10/20), Tesla Inc. (TSLA 3/5 TA Score on 10/21), and Meta Platforms (META 3/5 TA on 10/21).
• Yesterday's research highlighted the cybersecurity sub-sector in recognition of Cybersecurity Awareness Month. The report identifies several actionable investment opportunities and outlines key companies that appear well-positioned to benefit from the sector's favorable long-term growth trends.