Active Investing Edge Mentoring for 07/02/2026

July 2, 2026

Active Investing Edge

By Geoff Bysshe

Video Summary:

Geoff stated that while the morning employment report initially triggered a brief "fade" after breaking to new daily highs, the market's subsequent resilience suggests the report did not "get in the way" of the prevailing trend. He noted that the most significant technical signal of the day is the continued leadership of the Equal Weight S&P (RSP), which is decisively breaking out of its July 1 high and demonstrating "strong breadth" while cap-weighted indices remain under pressure. Geoff explained that he maintains a bullish bias heading into the long holiday weekend, expecting institutional support and potentially positive administrative headlines to keep sentiment constructive. He further detailed a major rotation into the Healthcare sector (XLV), identifying large-cap names like Merck (MRK), Eli Lilly (LLY), and Johnson & Johnson (JNJ) as both defensive buffers and potential AI growth beneficiaries. Finally, Geoff demonstrated that "bullpen" stocks like Robinhood (HOOD) and Affirm are successfully following through on breakout patterns, proving that rotation is creating high-probability entries outside of the semiconductor space.

Session Highlights & Chapters:

  1. SESSION HIGHLIGHTS:
  2. [Employment Report Resilience] (00:01:15) - Geoff analyzes the market's ability to shrug off the morning data, suggesting that internal price momentum is currently a more reliable guide than headline narratives.
  3. [Breadth Leadership (RSP & IWM)] (00:09:30) - A technical review of why the RSP reaching new highs is "better than great," signaling that the bull market is diversifying beyond mega-cap tech.
  4. [Fintech Leader Follow-through (HOOD & Affirm)] (00:24:45) - Geoff highlights the "blasting off" of Robinhood through the 200-day moving average and the steady climb of Affirm as key examples of high-conviction rotation plays.
  5. [Healthcare as the New Primary Theme] (00:36:10) - A deep dive into the XLV breakout, establishing Merck and Eli Lilly as the primary roadmap candidates for the July calendar range.

  6. VIDEO CHAPTERS:
  7. [Employment Data Review & Bullish Holiday Bias] (00:00:00) - Assessing the market's constructive response to economic data and seasonal holiday expectations.
  8. [Breadth Analysis: RSP Breakout & Russell 2000 Strength] (00:08:00) - Discussing the importance of RSP leading the charge and the continued resilience of small caps without interest rate help.
  9. [Sector Scan: IYT Breakout and Financial (XLF) Recovery] (00:15:00) - Reviewing the technical strength in Transports and the significant reclaiming of the 55 level in Financials.
  10. [Momentum Setups: Hood, Affirm, and ALAB] (00:25:00) - Analyzing high-conviction technical entries in fintech and new leadership names.
  11. [Healthcare Deep Dive: Merck, Lily, and J&J] (00:35:00) - Evaluating the technical breakout in XLV and identifying tight risk parameters for large-cap safety plays.
  12. [Data Center Evolution & Space Stock Review] (00:45:00) - Analyzing Meta's impact on hosters (NBIS, CRDO) and identifying new growth catalysts for Rocket Lab.