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Today's early weakness is reaching multi-day lows for the first time since early November though market breadth today is positive by 3/2 as seven sectors are positive out of 11, with Materials and Healthcare up more than 1%. The decline in big-cap Tech however is what many investors are concentrating on and FI-2.30%  AMD-4.75%  PANW0.34%  NVDA-3.00%  PLTR-1.44%  are all down more than -2.75%. An end of day finish at multi-day lows, particularly if breadth gets worse would make the case for a mild selloff which might last into FOMC but one which should provide buying opportunities. Oddly enough, today's positive breadth on negative SPX price action is nearly the opposite of what happened all last week when prices rose while breadth was negative. Initial support levels for ^SPX-1.50%  lie near 6042, then 6017

PLTR-1.44%  has gapped up on good earnings and solid AI demand back to new all-time highs, above the last few weeks along with the former intra-week highs from 2021. Given the possible huge low to high range for this week and elevated volume on this rise, I'm inclined to believe this is very positive for PLTR. Furthermore, no evidence of counter-trend exhaustion is now present on daily nor weekly timeframe. Thus, the ability to close out today at/near its highs of the day (or in upper quartile of today's range) would likely help short-term momentum to be jumpstarted and might provide some upside to 58-60. Note, of the 20 Sell side analysts who cover PLTR, only 4 are rated "BUY" 10 are rated Hold and 6 are rated "sell". I suspect that heading into the final stretch of the year, many sell side analysts who've been bearish, won't wish to carry a bearish/sell rating into year-end given the "need" to be right along with Bonus season for sell side firms in December. I suspect that a number of them might begin to upgrade based on the timing of PLTR's earnings coinciding with their negative views. Technically this stock remains very attractive despite being overbought. Gains are likely into mid-November before some minor consolidation into December in all likelihood but should occur from higher levels.

Time to refresh comments on IGV-2.04% , the Ishares expanded Tech-Software ETF, as this is now exceeding 90, and officially breaking out above two prior peaks from this year along with Nov 2021 in a very bullish Cup and Handle pattern back to new all-time high territory. While Semis still are outperforming Software on an intermediate-term basis, Software has shown better relative strength since this Summer. Note, this Software outperformance is not the normal MSFT-1.32%  led rally. Rather, it's being led by PLTR-1.44% , ORCL-5.27% , NOW-2.34% , and strong movement out of the likes of CRM-2.77% , PANW0.34%  which i suspect should rally back to all-time highs. (More on this topic in tonight's report)

NVDA-3.00%  pattern is not unlike AAPL-2.41%  and at a combined 10% of SPX, is at least part of the reason for a bit of slowdown in the Tech trade lately. (Both AAPL and NVDA have traded in range-bound symmetrical triangles since July) As seen, this triangle pattern requires a move over 126.50 for a breakout (and this is the likely outcome) and today's rally to multi-day highs has provided a bit of a short-term spark for Technology (While Equal-weighted Tech is just fractionally positive, XLK is up +0.55%, due largely to NVDA, PLTR-1.44% , AMD-4.75% , CRWD-2.75% , and MU-0.07%  outperformance, all of which are higher by more than 2%. NVDA looks appealing here ahead of its breakout, and movement above 126.50 should result in acceleration that leads this back to new highs, technically.

Palentir (PLTR-1.44% ) jumped more then 25% early on given its strong results which spurred on upgrades as it recorded its first Annual profit and has big AI demand. Wedbush's Dan Ives has called this the "Messi of AI" and raised his target to $30 from $25. Today's mid-day volume of 437 mm is already as high as last Fall and might exceed those totals potentially by days' end. I agree with Ives' fundamental target as a 2024 possibility, but initially $25.50 approximates the 50% retracement zone of its prior selloff and should have technical importance as initial resistance. Ives target lines up closer to a 61.8% Fibonacci retracement area and does look to have importance, and i agree that Technical and fundamentals could line up in this regard, as this looks attractive to me