Market Recap For October 26th, 2022

After the market’s initial drop on Wednesday, it appeared that the rally was back in force, as the major indices made it into the green.

However, the gains could not be held, and stocks rolled over, eventually falling right back to the lows of the day. Lower prices seem to be coming today.

Yesterday’s Sector Performance

Energy and Healthcare stocks performed well in the midst of the decline.

Communication Services were hit very hard, thanks in part due to earnings.

Five-Day Sector Performance

Energy and Healthcare also seem poised to take the weekly leadership role as well.

Wednesday’s outsized drop took Services to the bottom of the week.

ETF Trade Watch

Energy Select Sector SPDR (XLE)

Healthcare Select Sector SPDR (XLV)

Healthcare has performed well, but the move may be getting a bit extended. For now, traders that are still bullish on the sector can check out the XLV.

Oil, on the other hand, seems to be in the early stages of a rally, which means there could be an opportunity for bullish trades in the XLE.

Good luck!