Sector Rotation

So far the market retracement has been mild. It’s early to say it has found a bottom and is ready to run again but we are seeing some signs of rotation taking place that look promising. We need some time to drill down to the stocks themselves, but we saw some nice action in health and utilities and tech seems to be basing well. The S&P has run into resistance at its broken trend, but if you look at the SPY (underlying ETF) a completely different picture shows up. The SPY has recovered its broken trend and has been basing nicely on the old trend line. Overall the picture remains neutral with bullish promise.