Weekly Market Recap: 5 Key Sectors And The Russell Small Caps
Michele Schneider | May 09, 2021 05:08AM ET
Friday, Non-farm payrolls were announced with a disappointing 266,000 jobs created compared to the roughly 1 million that economists had predicted.
However, the gap in expectations did not result in a market selloff.
This could be showing that investors are giving more weight to the Fed's reaction to the report than the report itself.
With that said, let us look at Mish’s Economic Modern Family on a weekly basis to filter out market noise.
First off is the Transportation sector—iShares Transportation Average ETF (NYSE:IYT).
IYT was the only sector to close at new highs. This is important because IYT has kept us from taking a bearish market stance based on its underlying strength when compared to the other Family members.
Next is the Russell 2000—iShares Russell 2000 ETF (NYSE:IWM)—which closed roughly unchanged for the week. As of last week, IWM was showing more consolidation within its current range of $215 - 234.
On the other hand, Retail—SPDR® S&P Retail ETF (NYSE:XRT) and Regional banking—SPDR® S&P Regional Banking ETF (NYSE:KRE)—closed higher on the week and were sitting close to new highs.
Additionally, the Biotech space—iShares NASDAQ Biotechnology ETF (NASDAQ:IBB)—was able to hold its 50-week moving average at $145.17.
Last, we have the Semiconductors—VanEck Vectors Semiconductor ETF (NYSE:SMH). Like IWM, it was relatively unchanged for the week closing +0.25% on Friday.
The important takeaway is that every Family member held over main support, with XRT and KRE sitting close to new highs along with IYT placing another consecutive all-time high for the week.
h2 ETF Summary/h2- S&P 500 (SPY) New all-time highs.
- Russell 2000 (IWM) Cleared back over the 50-DMA at 223.33.
- Dow (DIA) New highs.
- NASDAQ (QQQ) Doji day. Resistance the 10-DMA at 336.01.
- KRE (Regional Banks) 71.53 resistance.
- SMH (Semiconductors) Watching for second close over the 50-DMA at 241.74.
- IYT (Transportation) New highs.
- IBB (Biotechnology) Next support 146.82.
- XRT (Retail) Holding over the 10-DMA at 93.94.
- Volatility Index (VXX) Broke 38 support.
- Junk Bonds (JNK) Flirting with the 10-DMA at 109.02.
- XLU (Utilities) Support 65.29 held.
- SLV (Silver) 24.12 support.
- VBK (Small Cap Growth ETF) 279.26 resistance at the 50-DMA.
- UGA (US Gas Fund) 34.68 resistance area.
- TLT (iShares 20+ Year Treasuries) 138.26 50-DMA support.
- USD (Dollar) Broke support at 90.42.
- MJ (Alternative Harvest ETF) 20.16 new support.
- LIT (Lithium) 62.27 pivotal area.
- XOP (Oil and Gas Exploration) Like to see this hold over 85.69.
- DBA (Agriculture) 18.67 now support.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.