Jay Woods on Market Technicals: Oracle, Meta, and Transports for 2026

Silver's Parabolic Rise and Pullback

• 💡 Silver has experienced a parabolic move, breaking out of a 15-year base and following gold's trajectory.
• ⚠️ The recent run-up was excessive, with RSI hitting 90 and over 95% of the price above the 200-day moving average, indicating an extreme technical condition.
• 📉 Margin requirements imposed by CME have reduced speculative trading, and a pullback is expected, with a potential entry point in the mid-60s.

Cautiously Bullish Outlook for 2026

• 📊 The market sentiment is cautiously bullish, anticipating 3-5% below-average returns for the year.
• 🚀 Pockets of euphoria are expected in areas like AI buildouts and commodities, but the focus will shift to bottom-line performance.
• 📈 Energy stocks, specifically ExxonMobil, have hit 52-week highs, indicating potential for further gains with a clear downside risk at $117.

Transport Sector Strength

• 🚚 The transportation sector shows strong long-term breakout potential, with FedEx identified as a key stock to watch.
• 📈 FedEx is trading around $285-$290, and a breakout above $300 could signal significant upside, especially given its modest year-to-date gains.
• 🚢 UPS is also showing signs of turning, and shippers are expected to benefit from the overall strength in the transport sector.

Canary in the Coal Mine Stocks

• ⚠️ Oracle is highlighted as a potential canary in the coal mine due to technical breakdowns and debt concerns, requiring another solid quarter to prove its strength.
• 📉 Meta is also a concern, as its significant AI spending is currently being punished by the market, not rewarded.
• 💡 The overall market trend is expected to be driven by broadening participation, with sectors like transports and energy leading the way, despite potential stumbles in technology giants like Oracle and Meta.