The U.S. market did bounce today. That is a little encouraging after what felt like a sharp two-day drop but in reality wasn't that bad.
While the larger trend for the S&P 500 index remains higher today's rebound is a little bit worrisome.
Today's gain in the S&P 500 has created an "inside day". That means today's range is inside of yesterday's range. This is a potential warning signal and suggests trader indecision.
I looked at hundreds of stocks today trying to find something worthwhile to add to the newsletter but nothing fit our criteria. The biggest challenge is Q2 earnings season.
We prefer to avoid holding over a company's earnings announcement. There are too many unknown variables that could send the stock crashing the next day as the market reacts to the company's results. All of the most promising stocks I found this week have earnings coming up in the next couple of weeks.
I'll keep looking but tonight we are not adding any new candidates.