Let’s get the week started off right.

No sleeping in late.

No eating crappy food.

No procrastinating!

I’m pretty excited to see what the market brings us this week and less excited to see what the never ending Trump/Russia saga brings.  My guess is that Trump news won’t move the equities markets and our focus will be more on the FED, US economic data and China industrial production.  The big question Monday morning will be whether or not the tech sell-off was a one day phenomenon or has strength to carry into mid or late week. My guess is that FANG stocks (FB AMZN NFLX GOOGL) will see buyers sooner than later.

The Big Picture

Economic Data (from Investing.com)

Besides the Fed, this week’s calendar also features U.S. data on inflation, retail sales, producer prices, building permits, housing starts, initial jobless claims, industrial production, consumer sentiment as well as surveys on manufacturing conditions in the Philadelphia and New York regions.

IWM printed a shooting star on Friday on high volume and near top of all time highs.  IWM seems likely to print lower on Monday.

IWM Daily

XLB (materials) had a breakout day Friday continuing a bullish trend that dates back to early 2016. Check out the components of XLB – many have fantastic long setups.

XLB Daily

XLV (healthcare) is tapping on all-time highs with 9 outa 10 stocks up on Friday.

XLF daily chart is very attractive. After breaking out of consolidation on Thursday, the trend continued on Friday and will likely do so Monday.  Wednesday will be the big test when the FED speaks.

XLF Daily

XLRE (real estate) is consolidating – worth watching for move.  Components.

XLRE Daily

USO – Although I’m not convinced the strength in Friday’s energy market will continue, the bottom-test of USO is worth noting.  Support for a reversal back to ~$11? We’ll see.

USO Daily

XLY, despite last week’s selloff, maintained it’s strong uptrend (bounced off SMA50). As long as SMA50 holds, there is no need to be concerned.  Components

XLY Daily