Market Recap For May 5th, 2022

Wednesday saw the major indices stall at important resistance point, and those points clearly held, and then some, on Thursday.

The keys to the next few days will be whether or not yesterday’s high, or Monday’s low is broken.

Yesterday’s Sector Performance

No sector finished in the green on such a rough day, but Utilities held up better than most.

Discretionary and Technology stocks were hit the hardest.

Five-Day Sector Performance

Energy is still on top, and in the green, over the past trading week.

Real Estate and Discretionary are the clear laggards.

ETF Trade Watch

Consumer Discretionary Select Sector SPDR (XLY)

Technology Select Sector SPDR (XLK)

There is no denying the real possibility that stocks could completely reverse higher today, but that wouldn’t change the bearish tone left at Thursday’s close.

Assuming more lows are on their way, the XLY and XLK should lead that move to the downside.

Good luck!