Consumer Apprehension:

When it comes to the 2 retail ETFs there is really no comparison. The XRT or more “equal weight” fund with no single holding of more than 1.3% has advanced 46% YTD and by 158% over the last one-year period. Compare that to the top-heavy XLY, where nearly HALF of the ETF is made of from its top 3 holdings in AMZN TSLA and HD. Of course, Amazon reported earnings, and was up about 4% after hours last Thursday, before CLOSING Friday in the red, with a bearish engulfing candle at all-time highs. Last week’s highs to lows Thursday morning was a range of 300 handles. TSLA is now 26% off most recent 52 week highs, and HD has been acting stellar breaking above a bull flag. The softness of AMZN and TSLA is showing in the returns, although likable, up 9% YTD and 55% over the last one-year period, it pales in comparison to the XRT. If one is trading the ETFs I prefer the XRT as it is just below a bullish ascending triangle¬†pivot, while the XLY has the look of a bull flag, that aligned with the round 180 number, which is getting long in the tooth.

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