Market Recap For July 22nd, 2022
Friday’s Spotlight forecasted higher prices, but also warned an inevitable pullback likely getting close. The market gave traders both to finish the week.
This week seems likely to start off with lower prices as markets pullback to retest prior breakout points. That pullback should lead to a resumption of the rally.
Yesterday’s Sector Performance
As is very common, when markets are weak, Utilities outperform.
Services were hit harder than most, thanks to disappointing earnings.
Five-Day Sector Performance
If readers follow these updates, Discretionary winning the week was not a surprise.
Friday knocked Communication Services down to the bottom.
ETF Trade Watch
Utilities Select Sector SPDR (XLU)
Consumer Discretionary Select Sector SPDR (XLY)
If markets do decline further this week, look for Utilities to have another good day or two, and for the XLU to push higher.
A market pullback should lead to another leg up, and the sectors that led before could lead after. Traders may want to keep an eye on the XLY.
Good luck!