Looking For Relative Strength:

The consumer sector has basically been left for dead, as it is the worst-performing major S&P sector on a YTD basis of 11 groups. Perhaps some bright spots could be seen with a select few acting well POST earnings reports which include TGT HOG and JWN, of course from depressed levels. Others like FL TPX and ANF have not. When looking for names to buy search for ones that did not make a lower low after the 1/24 session. Those that shrugged off the weakness should see a head start once the sector gets going again. Looking at the top components in the XLY one that sticks out is AMZN. Now I have not been a fan of this name and it still trades 19% off most recent 52 week highs and is now doing battle with the very round 3000 number. That is a familiar level of support dating back to the summer of 2020 and the early part of 2021. Bulls do not want this to become resistance here. As far as playing the stock on the long side I have little interest with no technical edge, but renewed strength from the name can lift a lot of consumer boats going forward. 

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