Consumer Blues?

While I will leave it to others to look over and examine retail sales data and the like, I believe PRICE action will give the real clues. Remember PRICE is not revised like many of these numbers and stocks do not lie. Looking at the ratio chart below of the XLY to the XLP, one way to gauge market risk appetite, it is clearly showing that the discretionary names are acting better than the staples here. It is implying that consumers are spending on more than just their basic needs. Sure the XLY is top-heavy with TSLA and AMZN, with the former breaking above the key 750 level in a short bullish ascending triangle pattern after reporting numbers after the close last night (breakout carries measured move to 825). AMZN which after its recent split found support just above the very round par number is trying to break above 125, an area that gave it trouble on 6/6 which recorded a bearish shooting star. I would like to see some more participation as looking at the XRT:XLY ratio chart sports a bear flag (XRT is more equal weighted).

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