This weekly column of SchaeffersResearch.com highlights leading and lagging Exchange Traded Funds (ETF) and is designed to supplement the data you can find our ETF center. The graphs below are based on a select list of ETFs that I follow and reflect the returns from last Friday's close through this afternoon.
Note: If you are not familiar with the advantages that ETFs offer, make sure you read the information in our Education and FAQ sections.
Last week we saw continued selling as most groups traded lower, while utilities and various energy-related groups were the worst performers. This week we find that the utilities and energy groups continued to struggle...
The magnitude of the declining groups still outpaced the moves on the upside, but we see a closer balance than we have in the last couple of weeks. At the top of the list we find the internet ETF. While the HHH does not include Google (GOOG: sentiment, chart, options) , and therefore isn't directly benefiting from Friday's gap higher, the move higher might be giving a boost to the overall psychology surrounding the group.
As I noted, the utilities and energy groups continued to struggle and some of the ETFs are nearing the long-term support levels I showed here. I haven't changed my views but clearly I have been wrong on the short-term action. For the longer-term view to hold, these groups will need to start showing some signs of stabilizing as they near support.
For a longer-term perspective, the bullets below show the year-to-date returns for the ETFs listed above.
Year-to-Date Returns for This Week's Top Performing Sector Exchange Traded Funds:
Year-to-Date Returns for This Week's Bottom Performing Sector Exchange Traded Funds:
I ended last week's column by noting how a large number of ETFs had hit oversold levels. These were numbers not seen since late-March of this year and August of last year and I suggested it might mean that selling had reached a point where a small pause might be in order. Here is the updated weekly chart of the S&P 500 Index (SPX) ...
While the action has been volatile, the SPX did hold above last week's lows. Whether a bounce will follow has yet to be determined, but this did at least offer a good signal that short-term selling pressure had peaked.
Finally, for this week, I want to turn your attention to the Pharmaceutical HOLDRS (PPH: sentiment, chart, options) . While I tend to view this as a relatively "dull" group, it did make this week's bottom performing list and the chart is worth noting...
To fully appreciate where this groups sits, you need the monthly view above. The PPH is precariously perched on support zone that it has never violated on monthly closing basis. Granted, this only covers five years or so, but I still thought it was worth noting...
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