Amazon Calling The Shots:
Give credit for the 800lb behemoth in the discretionary space for its performance this week, even if Friday was ugly. For the week it ROSE 3.4%, while the XLY slumped 14.2%. With Amazon making up more than a third of the fund, one could just imagine what the fund would have done if it was red for the week. On the other hand the second largest component in the fund HD, has lost more than 1/3 of its value over the last 2 weeks alone. The next 3 biggest holdings in the fund, MCD NKE and SBUX, all CLOSED more than 10% off intraweek lows, but each suffered large WEEKLY losses. The YTD loss for the XLY YTD now stands at 30%, which seems extraordinary, but perhaps this is just getting started to the downside. Continue to play small, until the downward trend is broken. Do not listen to anyone, except PRICE as that is the only way we are judged on a day to day basis.