This Staples Stock Might Clean Up in Early 2026
In this last edition of Top Stocks for 2025, Helene Meisler finds a stock that could be ready for a bounce.
You're reading 0 of 1 free page.
Register to read more or Unlock Pro — 50% Off Ends Soon
The Market
Note: I am taking the remainder of the year off. The next edition of Top Stocks will be Sunday, January 4th. Wishing everyone a great holiday and an even better 2026!
It doesn’t take a rocket scientist to see that today was yet another Nvidia (NVDA) up and 493 down day. So we have rallied for four straight days, and two of them have been NVDA up days at the expense of the others. I wish it wasn’t the way it was, but that’s the market we have.
I would also like to believe that we will see the market green for the remainder of the year, but I doubt that will be the case. I would not be surprised if one or two of the days is a decent down day. Just to shake things up.
But the McClellan Summation Index did not turn down. You can see it is creeping upward—barely. Let me caution you that if we get a net breadth day of -200 (advancers minus decliners) it will turn south, so we’ve rallied for four days, and this indicator has no cushion. The chart is shown below.
But it’s year-end, and I think even if we get a down day or two, I think we will rally again. The window is open for upside next week is well.
On the sentiment front, the DSI for the VIX did not change, and it remains at 17, but the S&P edged up to 73 and Nasdaq to 71. I consider both of those readings the high end of neutral, not enough to fuss over.
The real change is that we finally got a reading of 91 on Palladium. Can it go higher? Sure, but for my taste, that’s enough for me. Year-end may mess with this a little bit, but I’m a seller/profit taker. On the weekly chart, it is up against some decent resistance once again. A correction is needed.
Platinum’s DSI is 89, so that’s on the verge. Gold is at 85, and silver is at 89. I promise I will chime in the comments section should any of these cross over 90 in the coming days.
New Ideas
I was asked if there are any staples stocks that I would buy for the turn of the calendar. The caveat is they cannot be food or beverage stocks. I would note that two weeks ago, I recommended Colgate (CL) , and a day or two later, Phillip Morris (MO) . But if you want a chart that the only reason I have to buy it is that it looks severely oversold, then Clorox (CLX) is the name that comes to mind.
That is just relentless selling for the entire month of December, with the exception of one week. So, a bounce candidate. Not a bottoming call. A bounce candidate because of the oversoldness.
Today’s Indicator
The McClellan Summation Index is discussed in full above.
Q&A/Reader’s Feedback
Helene welcomes your questions about Top Stocks and her charting strategy and techniques. Please send an email directly to Helene with your questions. However, please remember that TheStreet.com Top Stocks is not intended to provide personalized investment advice. Email Helene here.
I do not have a measured target for Nvidia (NVDA) . There is a next level of resistance around 195. But thus far, there isn’t enough of a pattern to measure a target. I would now use a stop under 175. A trip back down there would get me a little concerned, especially if it did so before year end.
It’s a similar story for Philip Morris (PM) , which I warmed up to two weeks ago. There is a lot of resistance to eat through, so no measurable target yet. I would prefer to see it stay over 155 as of now. If it can get to 165, I would move that number up to 157-158.
The question is, if Advanced Micro Devices (AMD) can join the semiconductor fun. There is decent resistance at that 220-225 area, but the bounce off 200 gives us a good stop level, so I’ll say that before year end AMD ought to enjoy some more rallying.
It’s not great that Novo Nordisk (NVO) couldn’t build on the rally today, but I think I am inclined to think pullbacks will get bought for now. This is one of those drug stocks that I think is building a base for a better 2026 (than 2025).
