Wang’s Happy Trading

XLF (financials)

Almost every weekend, in our Sector Watch, we start by looking at the health of the financial sector. Since some of the biggest problems on the market right now stem from the financial sector, we need to see this sector finding a bottom. XLF ended flat this week. It showed strength in the latter part of the week. We’ll have to see how the earnings of some of the larger financial companies come out next week, including C (1/15 AM) and JPM (1/16 AM).

GLD/GDX (gold/gold miners)

GLD has been charging up for 5 weeks now, with gold setting a new ATH this week, topping $900 per ounce! It still looks strong, but, might need a couple of days to breath a little.

GDX has been riding up with the “gold rush”. ABX and NEM still look strong to me.

MOO (Agriculture)

MOO stayed strong all week in a weak market environment. MOS even made a new ATH at $99.96. MOO closed right at its 10-day MA. Breaking above this and could send it to its daily upper BB at about $60, which might induce a new breakout. We’ll be keeping an eye on this sector, especially if the market shows strength.

BTK (biotech)

BTK was very strong this week, gaining 30 points, while the most of the market was down. It closed above its daily MAs and the 10-day MA has already turned up. TEVA has been tearing things up until Thursday, when its North American CEO quit. VPHM jumped higher last week. CELG and DNA are making impressive comebacks after the drop in December. GENZ set a new ATH last week and could be still break higher.

Happy Weekend!
HappyTrading! ™