No replies to this topic

[TTHQ Staff]

SectorVue by David Schultz for July 9th , 2007 Tour de Force The Dow rallied 203 points while the Nasdaq NDX gained 54 points in a break out week. In May we had the Dow Jones making new highs every day with the NDX lagging. Nasdaq leading is a better scenario for growth investors. Overall Sector Action for the week was plus 1529. All 32 Sectors were up. With a spike up last week the market needs to pause. This week is a fork in the road for the market. Either the rest of the market follows the Nasdaq’s lead or we get stuck in a trading range for the summer. Semiconductors and Retail are certainly capable of leading the market higher. Housing and Biotech are the laggards. The Oil Patch is interesting because market indices like the Dow and S&P have been trading in lock step with oil stocks. We will see what happens when oil tops $80 bbl. Rydex Alerts- Took a small position in the Bearish Russell based on the Short term trading indicator being overbought. Will likely short the Dow Jones if a sell signal is confirmed. Will flip to Bullish OTC or Dow if it does not. Short term Trading indicator- Overbought INTERMEDIATE TERM TRENDS- Flat INTERMEDIATE OSCILLATOR - Overbought A pause or pullback would be healthy. Disk Drive DDX - Number one in overall rank led by Sandisk SNDK breaking out to a relative high. It is nice to see a tech sector on top. Semiconductor SOX- Getting comfortable in the top ranks. Xilinx XLNX, AMD and Taiwan Semi TSM are the leaders. The Ultra Bullish Semi USD is a great way to play this sector. Retail IRH- Back in the top ranks led by Ebay and Target TGT. Retail generally does well in summer rallies. Housing HGX - Buried in last place with few signs of life. If the sector does rally in relative rank it will be able to bounce up in price. Gold XAU- nice rally in rank and price. Will buy a gold stock on a dip. Transportation IYT and Airline XAL- Doing well despite oil hanging above $70. The economy must be a little stronger than economic numbers are revealing. Oil Service OSX- Up in price but down in overall rank means this sector is running into some profit taking. Looking to trade the Ultra Bearish ETF DUG. SUBSCRIPTION INFO A sample copy of the entire SectorVue newsletter via email may be obtained emailing sectorvue@cox.net . Requests for a sample fax must include full name and voice phone number. Subscriptions are $500 per quarter for individuals $1000 per quarter for offices. Rydex alerts priced separately. This report is for educational purposes only and does not constitute "investment advice".

Attached Thumbnails

•