The closing sector rotation has been pretty much across the board declining in just about every sector, defensive or not.
XLE-Energy has been in line most of the day, with the exception of a sharp leading negative drop at 2 p.m., closing down -.36%.
Somewhat related, the Dow/DIA shows a negative divergence in the late afternoon with the Dow rangebound at nearly unchanged with a .05% gain, unchanged for all intent and purposes, especially in context of the sub-intermediate trend.
Financials show an early a.m. opening negative divergence sending them in to the red in the late morning session, price moved up, 3C didn't confirm and in fact was leading negative.
Being the financials have a fairly substantial presence in the SPX, we see similar behavior in the sPY, it looks a lot like the Dow as well, with a gain of .22% in the SPX, again essentially unchanged in context of the sub-intermediate trend. Note there was no accumulation at the 11:30 lows; closing trade also range bound.
XLK, one of the better relative performer today, although not at an impressive gain (remember the days when a 1% move was average?), shows the same negative divergence in to afternoon trade.
The tech heavy NASDAQ 100/QQQ did show a positive divergence at the intraday lows, but quickly moved to a deeper leading negative divergence in the afternoon, with the NDX closing up .54%
The IWM was the black sheep today, it was negative off the open, at the 1 p.m. recovery highs and at the 2:45 recovery highs, giving up the gain in to the close, the R2k just barely managed a green close in the last 5 minutes at + .16%, but as the leader of a risk on move, the IWM's performance today contrasted, even if slightly, with that of the other average, looking weaker throughout the day.
The NYSE TICK chart looks about right for the day's action, late morning trade saw readings of -1350, which we haven't seen too often, the 2:30-ish move in to the green saw readings reaching +1675 and the close as it was range bound in 3/4 of the averages reflected that.
Now to update the daily data and check out the internals.
Is interest rates about to start going up?
-
Yes, I know - it does not make any sense - FED is about to cut
rates...but....real world interest rates are not always what FED wants it
to be.
5 years ago
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