On this edition of StockCharts TV's Sector Spotlight, I review the current rotations for Asset Classes and Sectors. As it is the last Tuesday of the month, I bring in the seasonality segment to find out if there are any meaningful seasonal patterns coinciding with current rotations on... READ MORE
After the last update of the RRG Baskets we were left with 3 shorts and 3 longs: LONG : EXR, WM, CRM SHORT: XLY, SWKS, PSX LONG Looking at the recent performance for the members of the long basket we see CRM and WM holding up well vs the S&... READ MORE
On the Relative Rotation Graph for sectors, the Financials sector, XLF, is positioned inside the lagging quadrant and heading upwards to the improving quadrant. The sector is gaining on the vertical JdK RS-Momentum axis, but not so much (yet) on the horizontal Jdk RS-Ratio axis. On the price chart, XLF... READ MORE
Be Careful what you wish for.... the market finally seems to be starting to give in. As Europe opens the week lower and the US follows, I assess the rotations at asset class and sector level on this edition of StockCharts TV's Sector Spotlight. With the market now... READ MORE
I had planned to look at some lesser-known Relative Rotation Graphs in this week's episode of Sector Spotlight, but I used too much time on asset class and sector rotations to make that happen. So I am going to publish them here and give a brief description and... READ MORE
On this edition of StockCharts TV's Sector Spotlight, asset class level stocks are still beating bonds, but the pace is slowing down. The big H&S pattern in EUR/USD, which suggested strength for the USD, is still there but lost a bit of its appetite. Sector... READ MORE
With the SPY/SPX chart sending curveballs, sector rotation on Relative Rotation Graphs is sending conflicting signals. With breadth continuing to deteriorate as the S&P continues to creep higher, getting a handle on the markets is not getting any easier. So instead of focusing on the S&... READ MORE
Over the past few weeks, I have been pointing out conflicting rotations for sectors on Relative Rotation Graphs, the negative divergence between RSI and SPY and a few more arguments that signal caution.With regard to the S&P, that has not paid off.... yet. The US stock market,... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I talk you through the recent rotations in Asset Classes and Sectors, addressing the counter-trend move in the USD index -- which is close to negating the double bottom in the index and the H&S pattern in the... READ MORE
The last update on the RRG baskets goes back to 20 July. In that post, I did a big clean up and left the basket with the following positions: LONG: EXR, WM, CRM SHORT: ETR, XLY, SWKS LONG Basket The RRG for the three stocks on the long side shows... READ MORE
In this week's episode of Sector Spotlight, I focused on the long-term trends using monthly charts. For several months already, most sectors have been in an uptrend on these charts; only the energy sector and the utilities sector did not qualify as such (higher highs and higher lows... READ MORE
Did you see the break in Utilities? On this edition of StockCharts TV's Sector Spotlight, it's all about the monthly charts. As the last Tuesday of this month (August) also happened to be the last day of the month, I decided to push things forward a... READ MORE
This month marks exactly seven years ago that I started contributing to the StockCharts website, after Relative Rotation Graphs were added to the graphical toolbox in July 2014. As the number of eyeballs on RRGs, the blog and the weekly episodes of Sector Spotlight has grown substantially over these years,... READ MORE
The Relative Rotation Graph above shows the rotation for the G10 currencies against the USD, which is the base (=benchmark) for this universe. Or, better, it shows nine of the G10 currencies against the USD. The general direction for this universe is pretty clear. The majority is moving inside the... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I take a chance and bring in seasonality for next month. Usually, we do that on the last Tuesday of the month, but this time the last Tuesday (next week) falls exactly on the last day of August and we... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I look at last week's rotations for asset classes and sectors and conclude that the current sector rotation is throwing curve balls at investors making it difficult to come up with a very clear and well-defined trend or... READ MORE
Relative Rotation Graphs are a great tool to use for a top-down approach. Lots of people look at sectors and trade the sector ETFs. The State Street sector SPDRs range (XLK, XLY, XLP, etc.) is probably the most popular family of ETFs for that purpose. The RRG above shows the... READ MORE
For a few weeks already I am monitoring the rotation between large-, mid-, and small-cap segments. On the various Relative Rotation Graphs, the deterioration for Small-Caps and, to a lesser degree, Mid-Caps vs Large-Caps is clearly visible. Over the last 13 weeks, Large Caps have pushed into the leading quadrant... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I spend the entire show on talking you through the current rotations for Asset Classes and Sectors and how they interact with longer term trends and price charts. Caution remains for the S&P 500, while the Healthcare sector... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I go over the completed monthly charts for July, highlighting the major trends and pointing out the areas of support and resistance to watch. Before the break, I give a quick overview of last week's rotations for sectors... READ MORE
After slowly rolling over while inside the improving quadrant, the tail on XLV (Health Care) picked up again at the start of this week and is now moving into the leading quadrant. This move follows the recent rotation on the daily RRG, which started out in the leading quadrant, rolled... READ MORE
The Relative Rotation Graph showing the rotations for Large-, Mid- and Small-Cap indexes is sending a very clear message: Avoid Small-Caps. (And also Mid-Caps.) The large-cap segment pushes further into the leading quadrant, while small-caps are on a very long tail moving deeper into negative territory. It looked as if... READ MORE
The Relative Rotation Graph above shows the rotation for the members of the Semiconductor group against the DJ US Semiconductor index. Clearly, NVDA is the main component of this group, and it has been leading the group higher recently. Over the last few weeks, however, NVDA has started to lose... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I highlight interesting seasonal patterns for various sectors and explore if they are aligning with the current rotations on the Relative Rotation Graph. It looks like August has some interesting seasonal anomalies that are worth exploring. 7 out of the... READ MORE
At the start of this week, the technology sector is rotating into the leading quadrant on the weekly RRG. Clearly, the endpoint of the tail is not fixed until Friday's close. Still, the improvement is visible and follows the improvement that was already visible for a few weeks... READ MORE
First of all, I'm sorry I had to cancel today's episode of Sector Spotlight. I've been battling a nasty cough/cold and a sore throat with not much voice left for a week now, and things did not improve enough to do a decent... READ MORE
The Relative Rotation Graph above shows the rotation for major stock market indexes against the Dow Jones Global Index. First of all, this is a so-called "open universe" which means that not all constituents of the benchmark are plotted on the graph. As a result, the universe is... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I seize the opportunity to answer questions from the mailbag. Why is this stock showing a negative performance while it is inside the leading quadrant? Can you give some guidelines on where to buy or sell? These are the major... READ MORE
This Relative Rotation Graph shows the industries that make up the Energy sector. One tail that especially stands out is for $DWCCOA. I have looked at this RRG, and the sector before, but always excluded Coal as none of the stocks in that index are in the S&P.... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I go over the completed monthly charts for June. Starting with Asset Classes, I note the stretched levels for the stock market and revives the concept of "Reversed Relative Strength" that I first introduced in a blog article... READ MORE
The RRG above shows the ABSOLUTE rotations for a selection of major indexes. Instead of plotting them against a global or otherwise encompassing index, I have plotted them against $ONE to get a handle on their underlying absolute trends. What is noticeable is that they are all inside the weakening... READ MORE
On the Sector RRG, the tails for Energy and Utilities stand out. The Utilities sector is positioned inside the improving quadrant, but started rolling over a few weeks ago and is now heading towards the lagging quadrant again. On the opposite side, Energy is inside the weakening quadrant, but is... READ MORE
On this edition of StockCharts TV's Sector Spotlight, as per usual on the last Tuesday of the month, I dive into seasonality for sectors. This time, I present a sneak preview of some work that expands on the 3D visualizations that I usually use for this segment. At... READ MORE
The Relative Rotation Graph above shows growth vs. value stocks rotations over the last six months (two quarters). After the initial cross into the leading/lagging quadrant, the relationship almost immediately started to move back in favor of Growth. Until both tails hooked in the week of 22 Feb, from... READ MORE
On this edition of StockCharts TV's Sector Spotlight, after spending almost an entire show on a question from the mailbag last week, I shift gears again and highlight the most important rotations in asset classes and sectors. In the asset class segment, I look closely at the stock/... READ MORE
There's been a lot of talk and articles on rates, rising yields, and rate hikes lately. That seems like a good moment for a reminder of the fact that Relative Rotation Graphs can also be very well used to visualize the (relative) movement of yields for various maturities.... READ MORE
In yesterday's article in the RRG blog, I highlighted the Oil&Equipment Services industry as potentially interesting. Using the scan-manager to find the members of this industry gives 78 matching results. [group is OilEquipmentServices] One thing that we need to take into account when using the scan-manager... READ MORE
The Relative Rotation Graph for US sectors shows interesting rotations on the tails of the Financials and the Energy sectors. These two sectors are inside the weakening quadrant on the RRG, but ranking highest on the JdK RS-Ratio scale. Both sectors completed a first stint through the leading quadrant, entering... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I address an email I received from a user with the subject line "Does RRG Really Matter?" At first glance, one could think a lot of things about such a subject line. However, it appeared to be a... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I make up for last week's brief coverage of recent rotations in asset classes and sectors by spending half of today's show examining recent rotations on the daily Relative Rotation Graphs. I put things into longer-term... READ MORE