the importance of the recent reweight in the S&P 500

yesterday was a quarterly option expiration AND an important S&P reweighing .. our last  post at the sectors of the S&P 500 were dominated by technology, energy and financials … that changed, pretty substantially.  now, hot of the presses the sectors are:

  • information technology 18% : using VGT as a proxy.  see chart below.  SELL PATTERN complete/completing.
  • financials 16.4%: using XLF as a proxy.  see chart below.  SELL PATTERN complete/completing.
  • health care 13.1%: using XLV as a proxy.  see chart below.  no discernible pattern however it’s approaching PARABOLIC
  • consumer discretionary: 12.5%: using XLY as a proxy. see chart below.  no discernible pattern however it’s approaching PARABOLIC.
  • industrial 11.1%: using XLI as a proxy. see chart below. SELL PATTERN complete/completing
  • energy 10.3%: using XLE as a proxy.  see chart below.  no new high, an extension sell pattern complete at 88 but perhaps 97 is where it will go.

so, note the inclusion of health care, consumer discretionary and industrial and there close to parabolic states continues the advance. additionally, am using VGT and the NASDAQ as proxies for the IT sector.  70% of the S&P 500 are either approaching parabolic or SELL patterns are completing …

stand by …..

Main20131221150501 Main20131221150120 Main20131221143551

financials
financials
health care
health care
consumer discretionary
consumer discretionary
industrials
industrials
energy
energy

 

Author: BART

BART is a CMT and an expert a "advanced" pattern recognition used w/in the intermarket analysis discipline. He's also an accomplished Business Development Executive providing solutions to a myriad of business markets.

One thought on “the importance of the recent reweight in the S&P 500”

Leave a Reply