Consumer Strength?
Is the consumer group ready to make a run? We know the XLY is dominated by AMZN and TSLA, with the former still below after-hours highs after a 20:1 split and a buyback was announced. Tesla is still swimming below its 200 day SMA, but they are not the only ones faltering. Former generals in LULU which is 40% off its annual peak and seems to have lost the battle with the very round 300 number (remain cautious on the name until that figure is reclaimed). YETI has now been nearly cut in half without the courtesy of a 2:1 split, and it has been unable to produce consecutive WEEKLY advances since late last October and early November. SFIX is now a single-digit member on the retail arena after trading near 114 in January 2021. The XRT is now 29% off its highs but there are some very slight positives to look at. Tuesday consumer discretionary and tech were the best acting major S&P sector and over the last one week period, it is the fourth-best of 11. Bullish candles have been recorded in this area too. Sentiment is still washed out, and remain tactical (taking small 5-10% gains while you can until market starts a new uptrend), but there could be some good risk/reward opportunities presently.