Material SectorLooks to be time for a clear bounce in the materials sector. Seems to be a lagging sector the past few years being range bound. I do think we get a test of the channel resistance.
Key stats
About Materials Select Sector SPDR
Home page
Inception date
Dec 16, 1998
Structure
Open-Ended Fund
Dividend treatment
Distributes
Distribution tax treatment
Qualified dividends
Income tax type
Capital Gains
Max ST capital gains rate
39.60%
Max LT capital gains rate
20.00%
Primary advisor
SSgA Funds Management, Inc.
Distributor
ALPS Distributors, Inc.
XLB invests in basic materials companies from the S&P 500, these would include companies in the chemicals, metals and mining, paper and forest products, containers and packaging, and construction materials industry. Its limited selection universe means it is heavily concentrated, and individual holdings must be taken into consideration before investing in this fund. Not surprisingly, XLB favors large-caps. Components of the index are all picked by the index committee, and weighed by free-float market capitalization, subject to a cap to ensure diversification requirements. Index rebalancing occurs quarterly.
Classification
What's in the fund
Exposure type
Process Industries
Non-Energy Minerals
Stock breakdown by region
Top 10 holdings
SPY SECTOR ROTATIONBased on what we can observe in this 4-hour chart, there is a clear rotation or reduction in gains in sectors that have generated significant profits over the past few months. This suggests that profits may be taking a breather, and capital could be shifting to other sectors or assets, possibly in a
Materials ETF Has Been RangeboundThe SPDR Select Sector Materials ETF has been moving sideways for months, but some traders may see potential for a breakout.
The first pattern on today’s weekly chart is the price zone around $88. XLB bounced there several times, leaving a rounded basing pattern (a low, a lower low and a higher low
XLB WEEKLY CHARTThe materials sector has actually performed extremely well. 9 straight green weekly candles and the highest weekly close in the history of the ETF. I really like this sector and some of the stocks in the top ten haven't even broke out yet. I guess my question is, was last week a strong enough break
Potential Breakout in Materials Material stocks have been stuck in a tight range since the bear market began almost two years ago. But they could be showing signs of a potential breakout.
The first pattern on today’s chart of the AMEX:XLB Materials Select Sector SPDR ETF is Friday’s last print of $86.83. It was the highest week
Materials Sector AVWAP Squeeze PatternThe material sector may be about to break out of an AVWAP squeeze pattern. Look for a breakout above $83.50 supported by volume.
Alternatively, it might dip to $81.50 and be bought at a value after upward momentum returns.
XLB - Monthly SupportInvestors waiting for a more probable long term support zone could wait until price action retraces to the top of the channel .
This channel has kept price action in check since the early 2000/s
We only broke out of the channel when we expanded the monetary supply and lower rates to zero.
XLB tagging Intermediate SupportMaterials Sector is getting oversold on the daily chart and tagging a key daily upsloping trend line.
A technical bounce is favoured at this level, however there is a weekly support level lower that is much stronger if this were to sell off more.
This bounce may only last a few days unless the i
XLB (Materials) DailyWe have a double bottom breakout and currently consolidating at the apex of the "W" (circles). On its way to challenging the prior pivot high at 84.04 and all time high at 85.86. From there, it's free sailing.
See all ideas
Summarizing what the indicators are suggesting.
Oscillators
Neutral
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Oscillators
Neutral
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Summary
Neutral
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Neutral
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Neutral
SellBuy
Strong sellStrong buy
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Moving Averages
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Moving Averages
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Displays a symbol's price movements over previous years to identify recurring trends.