Today’s Chart of the Day was shared by Bailey Baxter (@BBaxter2020). It's a chart of the Energy sector over the past year, on both an absolute (top) and relative (bottom) basis. The Energy sector has been the worst-performing sector of the S&P 500 for three straight days now, which is notable given how strong it has been this year. The sector is up more than 40% YTD and it has persistantly been the best performing sector the entire year. Bailey points out that $XLE is now below its 50-day moving average, and it has broken its November uptrend relative to the S&P 500. In other words, the Energy sector is breaking down on both an absolute and relative basis. Will the Energy sector resign its leadership in the second half of the year?
Chart of the Day - Wednesday, July 7th, 2021
July 7, 2021
