Dow 50K Is in the Rearview. Now the Real Test Begins.

Futures are pulling back slightly after Friday's historic session. Dow futures -56, S&P 500 futures -14.75, Nasdaq futures -94.75 as of 7:07 AM ET. A measured giveback after a face-ripper.

Friday recap: The Dow closed above 50,000 for the first time. S&P 500 +2%, Nasdaq +2.2%, Russell 2000 +3.6%. Nine of eleven sectors gained. Nvidia surged 7.9% after Jensen Huang told CNBC demand for AI is "incredibly high." AMD +8.3%. The semiconductor index closed up 5.7%.

The week was a different story. Dow +2.5%, but S&P 500 -0.1% and Nasdaq -1.9%. Software services had its worst week since March 2020, down ~8%. Amazon fell 5.6% Friday after announcing a $200 billion AI capex plan with no upward guidance. The market wants revenue proof, not spending commitments.

Asia rallied hard overnight. Nikkei +3.89%, Hang Seng +1.76%, Shanghai +1.41%, ASX 200 +1.85%. Europe mixed - DAX +0.29%, FTSE -0.11%.

The week ahead is loaded: - Tuesday: Retail sales, Q4 Employment Cost Index - Wednesday: January nonfarm payrolls (delayed from shutdown). December was just 50,000 jobs, unemployment 4.4%. - Friday: January CPI. Economists expect 0.3% MoM, 2.5% YoY. Tariff pass-through could push hotter.

Supporting cast: - Gold: $5,035.70 (+1.12%) - above $5,000 again. China extended central bank purchases to 15 consecutive months. JPMorgan targeting $6,100-$6,300 by year-end. - Oil: $63.85 (+0.47%) - Bitcoin: ~$71,000, consolidating after Friday's bounce - 10-Year Treasury: ~4.21% - VIX: 18.9 - still elevated above the 16 comfort zone

Friday validated what the system has been positioned for: breadth over concentration.

The THOR SDQ Index Rotation is running ~50/50 Dow and S&P 500 with Nasdaq essentially turned off. That meant capturing the Dow's move to 50,000 while sidestepping Nasdaq's 1.9% weekly loss. When 60% of the Nasdaq is concentrated in technology and the narrative is shifting from "build it" to "prove it pays," reducing that exposure isn't a prediction - it's what the data showed.

The THOR Low Volatility Index has 7 of 10 sectors risk-on with Technology, Financials, and Real Estate off. Energy hit record highs last week. Staples broke out. Industrials led. The market is rewarding diversification, not concentration.

This week is about confirmation. January payrolls Wednesday and CPI Friday will tell us whether the economy is cooling in a controlled way or whether inflation is reaccelerating. The Fed held at 3.5-3.75% last month, calling the labor market "not as strong as they'd like, but not as bad as feared." Wednesday's number tests that.

The system stays positioned. If the data changes, the positioning changes.

Near-fully invested across both funds. Broad participation, confirmed uptrends in most sectors and indexes.

Wednesday's jobs report is the fulcrum. December's 50,000 print was soft. A weak January number gives the soft landing narrative more fuel - and risk assets rally. A hot number makes Friday's CPI a minefield. The Fed is on hold, but they're watching. So should you.

The Signal is published weekdays by THOR Funds. Current positioning reflects live ETF holdings as of the most recent rebalance. This is not investment advice - it's what the data is showing. Past performance doesn't guarantee future results.

This content reflects the opinions, analyses, and research of THOR Financial Technologies as of the date published. It is provided for informational and educational purposes only and does not constitute investment advice and should not be relied upon as the basis for any investment decision. Past performance doesn't guarantee future results, and all investments involve risk.