The market continues to rotate from group to group. One day the financials are doing well as interest rates climb and the next they fall as interest rates also fall. The FANG stocks, (Facebook, Amazon, Netflix and Google) were dramatically underperforming from the election in November until the end of the year and now they are midst of a strong move in January with Google and Amazon breaking into new highs. It is tough to stay ahead of the rotation.
The Summation Index can't get enough momentum to really get this market to break out and never gets enough negative days in a row to start a market correction. So it is currently in a neutral mode. As in most markets to get outperformance you have to be in the right groups and the rights stocks. Check out the Sector ETF Analysis on this website to see what is working now. Semiconductors, Financials, Industrials, Value and Technology are all leading at this time. For individual names look to model list of stocks for the best names for possible buys.
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