The Invesco equal weight consumer staples fund made a bullish MACD cross today on the daily chart. It's also above signal on the weekly chart, so this cross should have some legs. Consumer staples are a counter-cyclical sector, so they tend to do well as the economy heads toward recession.
Nearly every single sector in the entire market is either overbought or down-trending right now, with two exceptions. Consumer staples and utilities are both climbing out of oversold territory and should gain Friday while the rest of the market pulls back.
Just another indicator, they are sectors within the SPX, so they should follow the index, but these sectors are showing the path.
S&P 500 sectors performance analysis...
I am expecting XLE to contest 95 Q2 2019. With the weekly flag and early signs of push beginning I expect this sector to continue to strengthen and be a much stronger pick next year.
Still no signs of an imminent crisis, although Telecommunications SP:S5TELS sector is going in a descending triangle. Could it trigger the inversion? Gold and Silver NASDAQ:XAU , in the meantime, broke an important support.
Movement in daily prices of key sectors within S&P 500 index
SPX and sectors correlations 10 day Period, Advance Decline ratio (ADL) and ADL correlation 10 day Period Sector Correlations XLY Consumer Discretionary XLP Consumer Staples XLE Energy XLF Financials XLV Health Care XLI Industrials XLB Materials XLK Information Technology XLU Utilities
Materials and Finance both started the week flat, moved up for a couple days, then remained steady on Friday while the US and World markets were down. If the US and World indexes are up next week I expect much from these two! Real Estate and Consumer Staples (Non-Cyclical) were the clear Sector losers taking back all the gains they made early in the week to...
Finance and Industrial looking BEAR lately! Going down more than the market since mid December, 5-6% more to drop until next support levels from late November. ******************** Hershey's CoCo Indicator details: Very Bull = Blue Arrow = Sector and Market prices are up, Sector price up more Bull = Green Arrow = Sector and Market prices are up, Market price...
I got Real Estate and Utilities mid-term bull... beating the market in daily upward price movement since mid November. Real Estate still has 12%+ until it hits next big resistance from last August. Utilities have 8%. ******************** Hershey's CoCo Indicator details: Very Bull = Blue Arrow = Sector and Market prices are up, Sector price up more Bull = Green...