Men Lie. Women Lie. Markets Don't

57% of SPY stocks are above their 50DMA. And, we are.... bearish....? Hmm. Lets take a look at the sectors that have kept the market in balance while Tech (Semis and AI) gather all the attention

At the time of writing this, here is the current MMFI reading.

Nonetheless, we see an overwhelming sense of bearish posturing in the market, mainly focused on AI and tech reactions. But, lets be clear. SMH (semis) have been ranging at ATH’s since the start of the year, in a 45 dollar range between 420 and 374. And, SMH has only closed green weekly candles since the start of year, too.

Let just leave that there, for you to consider. It will become important, later. But for now, we move into the sectors that helped SPY lead over tech this year.

SPY

Spy currently sits roughly neutral on the year. Up only about .6% at the time of this writing. Its outperformed tech, mainly due to the various sectors we are about to explore below.

To make sense of why the market is neutral - despite heavyweight tech sentiment - we are simply going to look at the structure of only a handful of sectors that have run hot in recent times. No, we wont be exploring an exhaustive list of indices. We do not need to. A few will do. Though it is important to understand why we should remain centered and patient in current market conditions.

Lets Begin.