20130405 Moving Average Breadth
Equity markets started the quarter giving some back after ending the last at all time highs. It was a picturesque way to end such a strong 1st quarter. However we had notices some weakening in breadth, but nothing to get overly concerned about. I think that is still where we sit after this weeks action. There are definitely lagging sectors like Materials and Technology, but those are also getting pretty oversold on the shorter measures while the longer term are still middle of the road. Most sectors, however, are holding up pretty well on the longer measures. We could certainly see more correction, but this does not look like a longer term breakdown is imminent at this point.
First, the Total universe of 1898 companies posted over the $SPY
Next I split the universe into 10 custom broad sector indexes
Consumer Discretionary (325)
Consumer Staples (91)
Energy (132)
Financials (316)
Health Care (199)
Industrials (252)
Materials (148)
Technology (338)
Telecom (24)
Utilities (73)
These are custom indexes so you cannot invest directly in them, but there are plenty of ETFs available for each sector. For me personally this is another form of relative strength, just with a broader lens .
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