Wealth and diversification preserves it. That could be the argument here comparing the XLY to the XRT below. The ratio chart at the bottom shows the XLY acting well POST breakout from a cup base pattern and we know the best breakouts tend to work right away. We know the heavy influence that AMZN and TSLA carry, but perhaps one should be looking at the action in the top 3-5 holdings to determine the true reason why the XLY is behaving superiorly. NKE is honing in on the 127.59 cup with handle trigger, which can also be interpreted as a 3-week tight pattern as the last 3 weeks have all CLOSED tautly within just 1.19 of each other. HD is playing “footsie” with the very round 300 number and a break above could see a double bottom base develop with an add-on pivot of 341.57. SBUX is on a 6-day win streak and is now comfortably above a double bottom with handle trigger of 109.33. The XRT is still sporting an inverse head and shoulders pattern with a break below the 60ish area carrying a measured move to 45. The chart below of the XLY however is above both its 50 and 200-day SMAs, something the XRT can not boast about. Size matters until it doesn’t.