Market Lab Report - Premarket Pulse 3/3/16

Published : March 3 2016 at 9:07 ET

Major averages finished higher yesterday on lower volume as the bounce in stocks and oil continues. After such a strong performance Tuesday, yesterday's calm consolidation was a sign of strength. The market may continue to bide its time ahead of tomorrow's monthly Bureau of Labor Statistics jobs numbers.

That said, defensive and junk-off-the-bottom type stocks continue to lead in terms of price performance, though some sector rotation away from defensive names has been observed. Nevertheless, the lack of quality leadership remains which could end this bounce sooner than later.

Keep in mind, however, that bounces can persist longer than expected especially given the easy money environment observed around the world. Further, the anticipation of negative interest rates in the US could also help push equities higher as markets are forward looking by as many as 6-9 months, as negative rates could force capital into hard assets and equities.

Solar power company SEDG had a pocket pivot. Earnings and sales are soaring, group rank 42. It is the solar leader in the residential market globally.

This information is provided by Virtue of Selfish Investing, LLC (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing, LLC. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2016 Virtue of Selfish Investing, LLC. All rights reserved.