Market Recap For August 22nd, 2022
The forecast coming into the week was for a continuation of Friday’s move, and the market delivered right on cue.
Stocks closed near their lows, implying more possible downside to come. Only a complete regaining of recent levels lost would eliminate that forecast.
Yesterday’s Sector Performance
Although Energy led the day, it still closed in the red.
Discretionary found itself at the bottom of the pack once again.
Five-Day Sector Performance
Consumer Staples is still on top of our weekly chart.
Nothing has changed at the bottom either, Communication Services are struggling.
ETF Trade Watch
Consumer Staples Select Sector SPDR (XLP)
Communication Services Select Sector SPDR (XLC)
The market didn’t do anything on Monday that would change the current trajectory, which remains lower.
As long as that environment remains, look for ETFs such as the XLP to perform better than most, and the XLC to continue to take some hits.
Good luck!