Sectors To Keep An Eye On

Getting back into the groove of things I wanted to take a look at all the major sectors I monitor on a weekly basis and these 4 stood out for one reason or another that I wanted to draw your attention to for potential trade ideas over the next couple of weeks as they set up.

Biotech is in for a fall very soon. Negative divergence can only go on for so long. I wouldn't recommend shorting this right now but definitely be booking profits if you own stocks in this sector.

Hard to be too bearish with Real Estate breaking out. Watch this for a failure to confirm a market correction. If this keeps going up then so will the markets. At least that's the way it should go, now whether that happens remains to be seen.

Consumer Finance continues to head toward multi-year highs while the investment banks linger and threaten to break down out of a bear flag. The one obvious conclusion here is finances everywhere are just horrible. Consumers continue to go into debt and charge anything and everything. At some point the piper needs to be paid. It's anybody's guess how much longer this can go on but I see this struggling when it reaches 2012 highs.

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