EB Daily Market Report - Friday, February 6, 2026

Dear Members.

The bulls are getting some relief today after the pounding the market took the past few days with all of the major indexes up nicely. We're also seeing a nice bounce in Crypto related currencies after severe drawdowns with Bitcoin down a full 50% from its all time high.

Interestingly, Tom Bowley's heading in Monday's EB Digest - "Cratering Cryptocurrencies An Ominous Sign for U.S. Stocks" was certainly prescient. So in addition to some signs Tom has been seeing for a while we now have to keep an eye on the Crypto space as another possible market indicator.

The market continues to send mixed signals. For example, the blue chip Dow has put in an all time high while the tech heavy NASDAQ remains well below both its 20 and 50 day moving averages. And the S&P is somewhere in between. But the negative reaction to earnings on some of the biggest of the big, including Amazon, Google and Microsoft, along with a brutal repricing of Software related stocks, has resulted in some serious technical damage to the NASDAQ.

So far the S&P has held recent price support neaar 6780 with technical resistance at the 20 day of 6910. So these are two levels to keep an eye on as we get ready to close out another trading week.

Tom will be back with his weekly Market Report on Monday.

At your service,

John Hopkins