Transcription
Hey everybody, welcome back.
So on Wednesdays, we're going to do something new. If you've been in this channel for some time, we usually don't do this, but I want to start doing a strength report in the middle of the week. And I think people find it helpful. It'll be short, to the point, but this will help you see where the money's actually going. We're going to do the basics, of course, because we're going to have to. And I just want to show you the difference here.
If we go and take a look at the top of the ES and we just drop the pin on the anchored volume profile and then we'll get into the best performing commodities, the best sectors, and I want to get into some of these stocks and I want to keep this one compact short and to the point. But if we take a look at something like this on the ES, you're over your point of control and you're trying to get over your value high, but when they get out, they pull you back in. And that's exactly what happened today, guys. We got pulled back in. You got over 7,000 and you got pulled back in. When you look at this on the 4 hour, you can see it even clearer. And what happened? They pulled it right back in. Let's just drop it down so that you can see it for yourselves. And it's not that hard to get. When you start to see this stuff, they don't want to get you out of the box. They just want to keep us in the box. It's just the way that it is.
Watch this with the NQ. If we go to the NQ, and we'll do this on the daily, and it'll be even more it to me, it's even more obvious what they're doing. But if you look at the higher high, we got over the higher high and now we have a long-legged dogee, right? If you start seeing that long-legged dogee, right? Let's take a look at this. Let's take a look at this. See it? See how you're wedged in here? Long-legged dogeis are signs of uncertainty. You tried to get over that level and you could not get over that level. You rejected. If we take a look at that and then if we go and take a look from here on the 4 hour, you can't miss it.
Now, here's where it gets super interesting. Watch this on the RSI. the RSI is not even anywhere near where this is. So the question is if we roll here, we're going to get a negative divergence on that RSI even though we made a higher high. So we really need this to push through here and that's what we're looking for to see if it's going to do that. And I want to get that out before we go through everything because everything that I do is top down. There's one more thing and just for those that don't know, top down means what? Top down means index sector stock, not just stock.
If we look here, we got right to the value high and then from there, what happened? You just broke point of control. I mean, it is very clear. It is clear a day. And for those that don't know where this level is, it's a level that we've been talking about. I'm just going to move this up. We've been talking about this level forever. It's actually even lower. And you can see you closed right on it, the 626. You just are having a heck of a time with it. And this is a pretty nasty reversal today. So, we're gonna want to watch obviously what happens with the tariffs on Friday. that tariff news is due out.
But let's get to the point of the strength report. And really what it is is I want to start from 26. And what I've done is I've taken the top three indexes and I've taken the top three commodities so you can start looking. And the purpose of doing the short, sweet, and to the point so it doesn't there's no fluff that there's something actually actionable for you to look at going into this week and next week to where the strength is going. And then you guys can comment on this video and then what we can do is make this more formidable for a strength report.
But I wanted to go through this and take silver. And then I went to take gold and copper. And at the same time, the Russell's in here, the NASDAQ and the ES. And if you look at these, where's the game right now? Well, this is where it gets interesting because you're looking at the ES. And the ES is actually losing out to the NASDAQ. The ES is losing out to copper, gold, and look at what's going on with the RTY. We're actually up on the RTY three times what you're up on the NASDAQ and probably close to four times what you are on on the ES. So if you're trying to figure out where the strength is right now, then that would be in silver.
And so then when you understand that what you would do with something like this with a strength report, I'm going to tie this all together. You should use it how you're comfortable. But I would go, okay, well silver. And then I would go into and say, all right, well what about something along the lines of RTY? All right. So small cap silver names might be something that I would look at. So that's one area and one way to look at that.
Another thing you could do is this is a graph that I have. And this graph has 40 different sectors in it. And what I did was I went back right to here to where you hit on Friday, January 2026. And as you can see right in here, clear as day uranium. And you're seeing uranium and the XME names and UFO. So, if you were trying to figure out what names you would go into, that's where you would focus.
Now, what we can do with this is we could drill into some names there to find strength. But what you've learned in 3 minutes is that you've already learned that silvers is specifically what you should be focused on if you're going to trade in metals. If not, you're trading subpar metals. Period. End of story. It's not debatable. There it is. Look at it. It's very clear.
If you're trading sectors and you're trying to figure out where the strength strength is and you're trading software right now, you're not doing yourself any favors. You need to be looking at the guys that are trading right now that are doing very well today. What did they trade? Uranium. What were the names that I wish that I was in later in the day? Uranium. So you can see where this is going. So as we're focused on other sectors, you're seeing this rotation and you're still seeing the UFO, which is the space, and XME, which is the metals.
So then if we look at this, we could always dive into this and then extrapolate from here, right? So I'll take this chart and we'll just roll with this. So there's the IWM, but what we'll do is we'll go here and we'll take something like XME for example. We know that Alcoa is in XME, right? And we know like, okay, well that's okay, but that's not really silver. Well, how about CDE? And then you would overlay that and go, oh, that's interesting because CDE came down and here's your wick. And now you have something that you might want to work off of tomorrow and watch. And then what you would do is just look at where the 12, the 22, and the 55 are in the recent volume. And you would realize with all that going on right now, where's the strength?
And again, this this report now on Wednesdays is going to be short, sweet, to the point. We're going to be talking about the strength. And so if your comments should be on that and then how to make this better, I would find that very, very appreciative because I want to get something out during the midweek that could be actionable for uh, you know, guys and girls. So if you look at something like HL, okay, well that's kind of interesting because HL and CDE do have some exposure to silver and then at the same time here's the XME and then that XME fit onto that chart we were just looking at. Right?
So what we've done there is gone index sector stock and so that what we've done is gone index sector stock. Right? We looked at what's going on and we've chosen these commodities as well as the top indexes. Then we went looked at the sectors that are breaking out year to date. And then from there what we've done is extrapolate what names to look at like CDE or HLY because they have exposure to silver but we could look at FCX but we have no exposure to that right so we're tying it all together the same way that we could look at something like URRA which is obviously breaking out the strongest sector in 2026 and so when we look at names like LEU we wouldn't be surprised that these names are breaking out and we could see that breaking out through the 55 the dogee and we could see the push today. And of course, if you had all this mapped out ahead of time, like people in the community did, then you'd be looking at this around 305 306, which a bunch of people did, and actually bought that today and got involved in OKLO. And then it depends on how much risk you want to take. I did think this was interesting though, and I just want to point it out that you did get a reversal. Um, and you know that there and so I got to make sure that I stay on point and stay with the strength. So, if we're looking at something like that, that's how I would extrapolate it out.
The other thing that I would do is I would also give you a couple other ideas where you would look at what's going on in the market and then realize that you know starting out it was always those big names that broke out yesterday and we all saw them. We all saw SanDisk, we all saw Micron, right? We all saw uh STX breaking out. I would go a step further with this and give you another thing that you could do. So if you saw all four of these breaking out because of what happened yesterday with Nvidia and again the strength report, we're focused on strength. So that's what I'm going to talk about.
So, if you look at Nvidia's report, when Jensen came out and said that this is going to be the biggest market ever, people are going to take that to heart. But what you want to do is learn from these videos is how to look at this and then how you're going to use this to determine strength. And this is really simple, guys. If I was to look at SanDisk here after yesterday or look at Micron here after yesterday, well, they're making higher highs. Where if I look at something like STX or Western Digital, which both they're having great years already, right? But which ones are stronger? See, by by doing this work ahead of time, and that's what I'm trying to get you to understand how I do this every single day. By doing this work ahead of time, when you come in, you're prepped. You're not going, "Oh, do I buy this one? This one hasn't moved yet." No, you want to buy the strength if you're a long-term trader.
So, what you're getting here is just a couple overlays of how I would look at the market as a whole. But at the same time, you're also able to extrapolate out how someone actually looks at the market and starts index, which we all know that's not the index. We all know this is the index IWM, right? And then we all know that the sector in there is really the commodities that's driving the silver. Then we extrapolate that out when we started to look at things like uranium. You could even go a step further with it and take uranium, but it'll throw it all off because uranium is not going to when I put it in here, it's going to be a little different. But you'll see that when you look at uranium in regards to it, right, to silver and everything else that that's actually your leader. And then when you look at that, then you just keep going through the names.
So hopefully that this is helpful. I want to start making this a weekly series and I think it'll get people going in the right direction so they'll learn not only what names to look at but how to do this for yourself.