Is Anything Besides Large Cap Tech Rotating Into Favor w/Strong Money Flow?
Another thin rally powered by just a few large cap US stocks needs some other sectors to join the party.
Before we get to today’s Relative Strength Rank & Trend Reports, here are the key market developments today:
Market Performance:
The S&P 500 closed slightly up by 0.1%, marking its eighth consecutive day of gains, a streak not seen since 2021.
The Nasdaq Composite also increased by around 0.1%, continuing its winning run for the ninth session.
The Dow Jones Industrial Average fell by about 0.1%.
Federal Reserve and Interest Rates:
Comments from several hawkish Fed members have tempered the optimism that interest rates have peaked.
Despite this, 90% of traders do not expect a rate hike this year, and 25% anticipate a rate cut in March, based on the CME FedWatch tool.
Oil Prices:
Oil prices fell, with West Texas Intermediate and Brent crude futures over 2% lower, influenced by concerns about China and the US demand.
Company-Specific News:
Disney is set to report its quarterly results, focusing on the earnings under its new reporting structure post-reorganization.
Google has expanded its generative AI-powered search platform to more than 100 countries and territories and added support for four new languages.
Sector Performance:
Technology has been leading sector gains, up 7.8% over the past week, which is unusual following a downturn in October.
Earnings Impact:
Companies missing earnings per share expectations are experiencing significant stock sell-offs, the most severe since 2011.
For best viewing, click to enlarge each stack and view it on a computer.
Relative Strength Rank & Trend Reports
Global Macro ETFs - Multi-Asset Relative Strength
Global Stock Index ETFs - Click to Enlarge
US Indexes - Click to Enlarge
Sector ETFs (Large Cap) - Click to Enlarge
Sub-Sector ETFs (Large Cap) - Click to Enlarge
Cheat Sheets is a data service to help traders improve decision-making. The author/architect of Cheat Sheet Sheets shares educational concepts related to the skill of trading but will not dispense personal financial guidance. All trades showcased are for demonstration purposes in a simulated investing environment. More Risk Disclosure . Disclosure of Trading Risk
Take advantage of our free and premium email subscriptions. Get Cheat Sheet Trading Signals and Relative Strength Reports delivered via email each week. ETF data is free.
There is a 7-day Free Trial available for free subscribers wishing to try Cheat Sheets Premium. For paid subscribers, we provide single company stock picks likely to appreciate in price.
Premium Cheat Sheets Stacks
Based on our criteria for watchlist selection, there’s not much happening outside of tech. However, banks are showing signs of relative strength, albeit with no strong money flow yet, but they are worth watching. As a group, we need to see banks with better Tailwind % scores.
