Here are a series of 3 charts that I use to give me a quick snapshot of momentum trends across the SPDR sectors and a few other key areas like bonds, the Dollar and PM’s.
Chart 1 Bonds, US Dollar, PM’s and Gold Miners
Momentum for Bonds remains strong while the momentum behind the $USD is fading.
Momentum for the precious metals and gold miners remains in a persistent downtrend although with a push the gold miners could make a move above the zero line and DT resistance. If you look at the price charts of several individual gold miner names, they are behaving much better than the underlying metal.
Chart 2: XLE, XLB, XLI, XLF, XLU
Energy has pulled back to the zero line and is flattening; an upturn here would be very bullish. Industrials and Financials remain pretty weak. After a huge push up, momentum behind the utilities looks to be flattening.
Chart 3: XLK, XLV, XLP, XLY, XRT
Tech and Healthcare look strong from a momentum perspective. Indicators for both showing bull crosses either at the zero line or above…..bullish. Staples have flattened out. Retail is losing momentum. Consumer Discretionary has backed off, but is still positive and may be in the early stages of a bull cross move.