Market Recap For August 15th, 2022

This week started off a tad lower, which was not too terribly surprising given the way last week ended. However, as expected, stocks finished in the green.

The market doesn’t appear to have intentions of slowing down anytime soon, but rallies do not last forever, and resistances are at or near current levels.

Yesterday’s Sector Performance

Even though the market was up, the more defensive names led the way.

Energy got hit hard, while Materials and Financials flatlined.

Five-Day Sector Performance

Financials moved into the top spot on the weekly chart.

Healthcare and Staples are bringing up the rear.

ETF Trade Watch

Consumer Staples Select Sector SPDR (XLP)

Utilities Select Sector SPDR (XLU)

With the market getting extremely stretched, and major resistance areas getting closer each day, it may be time to monitor defensive ETFs for trading setups.

In that type of environment, Utilities and Staples commonly perform well, and that makes the XLU and XLP two of the top candidates.

Good luck!