US Industry Groups by Highest RS Score
Internet ($DJUSNS), Automobiles ($DJUSAU) and Semiconductors ($DJUSSC) moved up to the top 3 positions of the Industry Group RS rankings, with GOOGL and META continuing to show strong relative strength in the Internet group. While in the Automobiles group, TSLA continued to be a major factor for the groups move up the RS rankings as it closed for a third day above its 50 day MA, and still in the backup range in early Stage 2.
The Semiconductors group had a number strong movers this week, which caused the group ETFs (SMH and SOXX), to close back above their respective 21 day EMAs (one month moving average), and the group leader NVDA closed above its 50 day MA.
Software ($DJUSSW) was also of note this week, with strong moves to end the week in a number of areas in the group, including Cybersecurity, of which CRWD has been one of the standouts during the market correction, and it made a Stage 2 continuation breakout, and closed the week with the maximum Stage Analysis Technical Attributes (SATA) score of 10.
US Industry Groups by Weakest RS Score
The Renewable Energy Equipment ($DWCREE) group continued its early Stage 4 decline for a fourth week, which has also seen it consistently decline in the RS rankings, and is now second from bottom. While the Gold Mining ($DJUSPM) group had a strong recovery in the second half of the week, with a macro Spring to the October 2022 low for the group, as Gold futures became short-term extended on the downside in early Stage 4.
US Industry Groups sorted by Relative Strength
The purpose of the Relative Strength (RS) tables is to track the short, medium and long-term RS changes of the individual groups to find the new leadership earlier than the crowd.
RS Score of 100 is the strongest, and 0 is the weakest.
In the Stage Analysis method we are looking to focus on the strongest groups, as what is strong, tends to stay strong for a long time. But we also want to find the improving / up and coming groups that are starting to rise up strongly through the RS table from the lower zone, in order to find the future leading stocks before they break out from a Stage 1 base and move into a Stage 2 advancing phase.
Each week I go through the most interesting groups on the move in more detail during the Stage Analysis Members weekend video – as Industry Group analysis is a key part of Stan Weinstein's Stage Analysis method.
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Disclaimer: For educational purpose only. Not investment advice. Seek professional advice from a financial advisor before making any investing decisions.