$XLY relative to SPY bullish breakoutXLY top weighted stocks : Tesla, HD, Amazon, MCD ..
Showing STRENGTH relative to SPY with bullish breakout of pennant and breakout of the recent down trend line....
While Apple and Microsoft are turning down, Tesla has been strong grinding it's way to over $800 and appears to be headed for ATH's next...
It will be interesting to see if we get a big breakout in XLY as we enter the end of year and Santa rally where consumer's are bound to increase their spending...
XLY
$XLY potential breakoutXLY Consumer Discretionary SPDR ETF saw a buyer of the 12/17 187C for $2.5M in premium last week
Top holdings are AMAZON and TESLA. I like both these stocks from a technical perspective and a "cheaper" trade would be to go long XLY :) (Higher premiums on AMZN and TSLA).
From a technical perspective XLY has bullish Momo and a strong close above 21EMA. Looking for a $186 blue sky breakout this week and she can really fly.
Also worth noting 9/20 Wyckoff "more effort less result" which is a bullish indication - notice the high volume from the sellers (exhaustion) with price action staying above the 8/17 lows.
Sector Winners and Losers week ending 9/17Energy (XLE) topped the sector list this week after the OPEC Monthly Report on Monday projected that demand for oil would exceed pre-pandemic levels by next year. The sector also got a boost from Crude Oil Inventories data released on Wednesday that showed much higher demand than expected.
Consumer Discretionary (XLY) moved into second place after great Retail Sales data on Thursday.
Utilities (XLU) and Materials (XLB) were the bottom two sectors for the week. Although markets were lower this week, investors did not flee to defensive sectors.
Sector Winners and Losers week ending 9/10All sectors declined this week as the S&P 500 pulled back from all-time highs. Consumer Discretionary (XLY) was poised to end the week with gains before losing those gains in Friday afternoon selling.
Real Estate (XLRE) was the worst-performing sector of the week after outperforming the market in the previous week. The sector erased all of last week's 4% gain as investors reversed the trade that is supposed to protect against inflation and benefit from low interest rates.
Utilities (XLU) took the top position on Wednesday but gave the lead back to Consumer Discretionary on Thursday.
Sector Winners and Losers week ending 7/30Materials (XLB) was the top sector of the week as manufacturing and core durable goods data showed increase demand and was confirmed in consumer spending numbers. The growth in the sector was matched by increased prices in metal commodities required to support economic expansion.
Energy (XLE) started the week strong and led several days throughout the week, but ended in second place behind Materials at the end of the week.
The three worst sectors were the growth sectors, all losing for the week. Technology (XLK), Communication Services (XLC), and Consumer Discretionary (XLY) were at the bottom of the weekly sector list.
Sector Winners and Losers week ending 7/23Utilities (XLU) dropped to the bottom of the sector list after leading in the previous week. It was all about Growth stocks this week as investors put off fears of the economy and looked forward to record earnings reports from big tech.
Communication Services (XLC) led the week thanks to huge earnings beat by SNAP and Twitter. Consumer Discretionary (XLY) and Technology (XLK) were second and third.
Energy (XLE) briefly moved into the top spot on Wednesday afternoon before falling back and ending the week in second-to-last place. Only Utilities and Energy declined for the week.
Sector Winners and Losers week ending 6/18It was a volatile week in the indexes and the sector list as investors rotated on the Fed's new hawkish stance toward inflation. Energy (XLE) led early in the week, but Technology (XLK) topped the list by the end of the week, ending the week as the only sector to hold onto gains.
In second place was Consumer Discretionary (XLY). Growth stocks remained strong compared to Value stocks even in the sell-off that occurred on quadruple witching Friday.
The cyclical sectors were at the bottom of the weekly sector list, with Materials (XLB) having the worse performance among a drop in commodity prices.
Sector Winners and Losers week ending 6/11It was a mix of defensive sectors and growth stocks at the top of the sector list this week, while the cyclical sectors took a step back.
Real Estate (XLRE) led the sector list, continuing to gain on a solid housing market, higher rents, as well as a defense against potential inflation.
Health Care (XLV) also rallied this week, ending the week in second place on the sector list. Eli Lilly (LLY) helped boost the sector with news that the FDA may approve a new Alzheimer's therapy. The stock and the sector faded late in the week on the controversy over statements made by the company.
Technology (XLK) and Consumer Discretionary (XLY) were third and fourth on the list, with steady increases throughout the week as investors became more confident in the growth trade.
The cyclical stocks fell this past week. Financials (XLF) suffered from lower treasury yields, potentially impacting interest rates that drive revenue for the sector. Industrials (XLI) and Materials (XLB) declined as more of congress pushes back on Biden's infrastructure spending proposals.
Sector Winners and Losers week ending 6/4Energy (XLE) and Real Estate (XLRE) led the sector list for the week, establishing their lead early in the week. Energy got a boost from the rise in oil prices on high demand. Real Estate is gathering momentum from rising housing and rental prices while also being a great hedge against inflation.
The focus on employment data released on Friday morning is clear in two pivots. There was a sharp sell-off of most sectors except Consumer Staples (XLP) and Utilities (XLU) on Thursday ahead of the report. The two sectors are good defensive plays when investors get nervous about how the market may react to news or events.
After the report was released, Technology (XLK), Consumer Discretionary (XLY), and Communications (XLC) rallied on Friday. It seems the employment data was good enough to keep a positive outlook, while not so good to drive more fears of tapering by the Fed.
Health Care (XLV) was the worst-performing sector for the week.
Sector Winners and Losers week ending 5/28Growth sectors stole the show this week as investors put inflation worries aside and boosted Communications (XLC) and Technology (XLK) early in the week. The focus was on the growth sectors from Monday to Wednesday. Technology faded back in the list, buy Consumer Discretionary (XLY) joined Communications to end the week at the top of the list.
On Thursday, there was a rotation into cyclicals, bringing Industrials (XLI) higher in the list. Industrials ended the week in fourth place.
Friday brought out the defensive plays heading into a three-day weekend and the start of the summer months. That gave a boost to Real Estate (XLRE), Health Care (XLV), Utilities (XLU), and Consumer Staples (XLP). Real Estate (XLRE) ended in third place for the week, while Health Care and Utilities remained at the bottom two sectors for the week.
Sector Winners and Losers week ending 5/14It was a mix of defensive and cyclical stocks that led the sector list this week. Only three sectors ended the week with gains, while the high growth sectors took the biggest declines.
Consumer Staples (XLP) topped the list with Utilities (XLU) in fourth place. Both are defensive sectors for investors. Real Estate (XLRE) was lower in the list but still outperformed the sectors.
Financials (XLF) and Materials (XLB) joined Consumer Staples as the only sectors to end the week with gains.
Technology (XLK) and Consumer Discretionary (XLY) were at the bottom of the list. Both contain high growth companies that are likely to be impacted by inflation and potential increases in interest rates. They started to recovery on Thursday and Friday after the US Dollar and Treasury interest rates dropped.
Risk appetite in the markets? Checking the $XLY / $XLP quotientI have this quotient in my watchlist to monitor the risk appetite of the market. The AMEX:XLY ETF (Consumer Discretionary) is a good indicator of high risk appetite because its holdings are more focus on growth therefore are more volatile. And the AMEX:XLP ETF (Consumer Staples) is more focus in value stocks, therefore less volatile.
AMEX:XLY with holdings like NASDAQ:AMZN , NASDAQ:TSLA and NYSE:MCD . And AMEX:XLP with holdings like NYSE:KO , NASDAQ:PEP and NASDAQ:COST .
Right now the quotinet XLY/XLP is near a breakout off a base to make an all time high, while its 20 day moving average is croosing the 50 moving average. This are good news to this bull market.
Sector Winners and Losers week ending 4/23The S&P 500 had a slight loss for the week, but there were two sectors that soared despite the market.
Real Estate (XLRE) ended the week as the top sector, advancing over 2%. Three factors helped the sector breakout and then stay on top the whole week. The economic recovery is a boon for the real estate industry as occupancy rates climb driving demand and prices higher. Interest rates remain low thanks to the Fed's continued easy money policy, keeping costs low. And in a climate of nervous investors, fearful of new lockdowns around the world, the real estate sector becomes a nice defensive play that has growth potential as well.
Healthcare (XLV) was the second best sector of the week. The sector has lagged behind the S&P 500 since the beginning of the year. Positive earnings reports from UnitedHealth (UNH) and Johnson & Johnson (JNJ) over the past few weeks gave it the momentum needed to catch up with a 1.81% advance this week.
The only other sectors that had gains for the week were Materials (XLB) and Industrials (XLI), both responding positively to great economic recovery news.
At the bottom of the sector list were Energy (XLE) and Consumer Discretionary (XLY). Energy stocks continue to underperform as oil prices have been dropping in recent weeks. Consumer Discretionary was a big part of the S&P 500 setting records the previous three weeks and was due to pause or pullback this week. Earnings reports from Tesla (TSLA) and Amazon (AMZN) next week will have a big influence on the sector performance.
Sector Winners and Losers week ending 4/16Utilities (XLU) is surprisingly the top sector for the day. Topping the list on Tuesday and nearing the top of the list on Friday the sector had steady gains throughout the week. The sector is usually a defensive move for investors. Perhaps investors nervousness grew as the S&P 500 has been setting new all-time highs.
Less of a surprise is to see Materials (XLB) at the top of the weekly list. The sector is benefiting not only from investments on infrastructure being discussed in Washington, but also a strong housing sector and a surge in building permits.
Energy (XLE) had a choppy week, taking the lead on Wednesday, but quickly fading to near the bottom of the list for the weekly.
Consumer Discretionary (XLY) also had some good days this week, advancing on news of strong retail sales and an advance in consumer credit showing increased spending.
The worst performing sector this week was Communications (XLC). There have been some reports of decelerating spending on Internet media and social platforms from retailers. That makes sense as demand is naturally increasing and requires less effort for omnichannel marketing to bring in consumers.
Sector Winners and Losers week ending 4/9The S&P 500 was dominated by three growth sectors for the week, finishing the week with a big 2.71% gain and another new all-time high.
Technology (XLK) finished the week as the top sector, taking the top spot on Thursday and Friday as big tech companies solidified breakouts from their recent consolidations.
Likewise, Consumer Discretionary (XLY) and Communication Services (XLC) finished in second and third place largely thanks for mega-caps that are overweight in the lists.
Energy (XLE) was at the bottom of the list with over a 4% decline. Some of that may be attributed to mixed outlook from analysts on supply and demand for oil. But Energy also tends to suffer when a large amount of investment rotates into the three big growth sectors.
Only Energy declined for the week. The other sectors had gains, albeit underperformed the broader S&P 500 index.
Sector Winners and Losers week ending 3/26There were several change of winners and losers during a week that ended with the S&P 500 at a record close.
Technology (XLK) led for the first two days of the week, was sold off heavily on Wednesday and Thursday, but then ended the week with a huge gain on Friday, putting it in third place.
Utilities (XLU) took over the top spot on Thursday as investors became very cautious and fled to the defensive sector.
Consumer Staples (XLP) remained steady throughout the volatile week and ended the week at the top.
After last week's rout, Energy (XLE) seemed to find a bottom on Tuesday. After a big gain on Wednesday, the sector opened back near the bottom on Thursday, but quickly recovered. But the end of Friday, it was able to end the week with a gain.
Communication Services (XLC) and Consumer Discretionary (XLY) were the only two sectors to decline for the week. Communication Services ended the week at the bottom with more than a 4% decline. Although Technology sector fared well, there is still evidence of rotation from growth to value.