Equity Roundup: Holding Strong Gains, Buy the Dip?

Stocks making broad gains in late morning trade, are off recent highs at midday, SPX emini futures ESU2 currently +93.25 (2.54%) at 3769 vs. 3780.75 high. Less of a risk-on move and more like tactical positioning/buy the dip as myriad risk factors remain.

• Well above last week’s lows (3649.0 last Thu), the outlook though remains bearish. Recent weakness resulted in a break of 3810.00, May 20 low and a bear trigger. The clear break confirmed a resumption of the primary downtrend and maintains the bearish sequence of lower lows and lower highs and the focus is on 3600.00 next.
• On the upside, firm resistance is seen at 3933.84, the 20-day EMA. Short-term gains would be considered corrective.
• SPX leading/lagging sectors: Energy outperforming (+4.46%) with O&G and equipment related shares trading strong (Diamond Back Energy +5.41% at 128.90; Exxon +5.16 at 90.56; Schlumberger +4.94% at 38.45). Consumer Discretionary up net (+3.08%) supported by strong rally for autos -- yes, Tesla leads +11.11% at 722.50; Borg Warner a distant second (+4.34% at 35.13). Laggers: Materials and Utilities sectors both up around 1.45%.
• DJIA +557.6 (1.87%) at 30444.93; Nasdaq +310.3 (2.9%) at 11108.6.
• Dow Industrials Leaders/Laggers: United Health Grp (UNH) surges +18.39 to 470.45 -- even after annc $1.5B purchase of health tech company EMIS. Microsoft (MSFT) +5.6 at 253.25. Laggers: Home Depot (HD) -2.45 at 268.28; Disney (DIS) -0.36 at 93.97; Boeing (BA) -0.19a t 136.61.