20131101 Moving Average Breadth
Markets continued to work sideways until about mid-week when they decided to rock the boat a little. Most damage came in small caps, so we are likely to see it more in these charts than the major indexes except maybe the $IWM. One thing I noted was Technology, Health Care and Consumer Discretionary 20sma readings never made it back over 80% on this run so far and look to be rolling over. Could signal more softness int these areas as money rotates elsewhere. There is notable strength in the readings from Utilities, Consumer Staples and Industrials. Overall though, reading are weakening but not falling out of bed.
Don’t forget to check out the new weekly feature Probing The Universe
I have decided to leave the $SPY chart on just to give a comparison to the universe.
First, the Total universe of 1898 companies posted over the $SPY
Universe Composite Index
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 .
Good Luck! It is there for you to make.
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