The past week has been relatively stable in terms of sector rankings, with no new entrants or exits from the top five. However, we’re seeing some interesting shifts within the rankings that warrant closer examination. Let’s dive into the details and see what the Relative Rotation Graphs (RRGs) are telling us about the current market dynamics. Sector Rankings Shuffle The top three sectors, technology, industrials, and communication services, remain firmly entrenched in their positions. But the real action is happening just below them. Financials climbed to the number four spot, consequently pushing utilities down to fifth place. This shift is significant, as it indicates a move towards more cyclical sectors in the top rankings. These changes suggest a potential shift towards more economically sensitive and offensive sectors, which supports a bullish scenario or at least a move away from defensive positioning. (1) Technology – (XLK) (2) Industrials – (XLI) (3)…
