Index ETF and SPDR returns for May 14

Disclaimer: Long position on GLD, short position in SPY and XLF.

SPY, QQQ and IWM

SPY, which closed almost at the bottom of the trend channel yesterday moved back into the channel today. The trend break still not confirm yet.



Both QQQQ and IWM have not only broken their trend lines, but also were unable to hold above the short-term supports just before the close.

Disclaimer: Short position in SPY.

Index ETF and SPDR returns for May 13

Disclaimer: Long position on GLD.

Inverted head and shoulders in GLD.

Going through the daily chart of GLD, it just dawned on me that there is an inverted head and shoulders pattern. Since the price prior to the left shoulder was below the shoulder and it had a huge run up to the shoulder, I am not sure if this could be considered a valid tradable pattern.

Disclaimer: Long position on GLD.

SPY possibly and IWM confirmed broke out of uptrend channel

SPY closed today just at the bottom of the trend channel. After today's 2.52% drop, it might pop tomorrow and the confirmation of broken uptrend might be the day after. It also broke through short-term support around 89.75. Notice the 5 day moving average (yellow curve), which has turned downward. Also notice MACD at the bottom which is showing negative divergence (meaning downward move is accelerating).


IWM confirmed that the uptrend is broken (this was signaled yesterday). Today it broke through short-term support around 48.25. The state of 5 day moving average and MACD is similar to SPY's, mentioned above.

Disclaimer: No position in any of the mentioned securities.

Index ETF and SPDR returns for May 12

XLF has been the worst performer for the second day in a row among sector SPDRs.

Disclaimer: Long position on GLD.

Russell2000 possibly broke the trend channel today

Also note MACD sell signal on daily time frame.

Disclaimer: No position in mentioned security.

Index ETF and SPDR returns for May 11

Today as usual financials and technology sectors swapped positions on the return ranking, where technology being the best performing while financials being the worst. One thing to note was lower volume.

Disclaimer: Long position in GLD and, short position in XLF and SPY.

Weekly Asset Returns (05/08)

Here are the asset returns for the last week (courtesy of WSJ). The numbers show decreasing risk aversion of investors, where crude oil, REITs and emerging market stocks being the best performers and the dollar being the worst.

Here are the returns for the major equity index ETFs and sector SPDRs. Financials are still going strong.

Disclaimer: Long position in GLD and XLE, and short position on SPY.

Sector Relative Strengh

This chart shows the sector relative strength (relative to S&P500) since a market bottom on March 9. The way I have computed the data is as follows: starting with March 9, each day's sector SPDR value is divided by SPY. This value is then divided by the value on March 9 (normalization). The primary purpose is to get an idea of how sector performance compares to each other and to broader market.

As you can see, XLF has significantly outperformed every other sector and the S&P500 by a wide margin. Then are 2 cluster: one consists of XLB, XLY and XLI, which have outperformed S&P500 to some extent.

XLK is in the middle and has closely tracked S&P500 till recently and is lagging behind now.

The second cluster includes XLE, XLP, XLU and XLV. Out of these the performance of XLE has started showing confirmed improvement.

Disclaimer: Long position in XLE.