Market Recap For July 21st, 2022

This week’s forecasting has been simple and straightforward in that the market is clearly in rally mode. Yesterday was no exception.

Thursday’s close was clearly a bullish one, which tilts the odds to higher prices to finish the week. However, the rally is getting a bit stretched, a pullback may be near.

Yesterday’s Sector Performance

Once again, Discretionary stocks finished in the top spot.

Energy stocks rolled back over, thanks to the drop in oil.

Five-Day Sector Performance

Discretionary stocks are still on top this week, but now distanced from all others.

Utilities are still the only sector in the red.

ETF Trade Watch

Technology Select Sector SPDR (XLK)

Consumer Discretionary Select Sector SPDR (XLY)

Markets continue to move higher, and they do not yet seem to be showing signs of stopping. However, pullbacks always come.

Until the rally break, Discretionary and Technology stocks are still two of the top performers, and that favors the XLK and XLY.

Good luck!