Stocks are trading at their highest levels since July, but one top technician is worried about a key piece of the market.
Investors are approaching the week of trading with measured confidence after last week's monster rally pulled stocks back to their highest levels since late July.
That area would, in fact, be the industrials. Carter Worth, head of technical analysis at Cornerstone Macro, stopped by ""This has been one of the areas that has been a hope trade," Worth said. "And as they say, when you're hoping, it's hopeless. It's not a thesis, it's nothing." "This line is the [2016] presidential election, and what you see is this big bump up in industrials, and here is the relative performance [to the]. It's called the 'Trump bump,' and it happened in financials and industrials," said Worth.
No matter how you slice it, the industrials are in rough shape from a technical standpoint. Negative alpha, stagnating absolute returns and a key resistance level seem to be conspiring against the space – and any traders with exposure to it.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Asia stocks set to trade mixed as China's exports to the US fallChinese customers data showed the country's exports unexpectedly fell in August, pointing to further weakness in the world's second-largest economy.
Consulte Mais informação »
Asia stocks make cautious gains as weak data boosts stimulus hopesAsian stocks eked out modest gains on Monday, amid a cautious market mood as inv...
Consulte Mais informação »
Singapore stocks offer 'good yield' despite trade war jittersThe U.S.-China trade war may be hurting Singapore's economy, but stocks in the city-state remain relatively attractive compared to the rest of Asia, analysts say.
Consulte Mais informação »
European stocks seen mixed as investors eye Brexit battle and stimulus hopesEuropean stocks were seen opening mixed Monday morning as investors monitor ongoing political chaos in the U.K. and cautious hopes for policy stimulus from the world's major economies after a series of weak data releases.
Consulte Mais informação »
'Abrupt and severe market losses': One expert explains why stocks are on pace to underperform the safest government bonds for the next 20 yearsJohn Hussman explains the math behind his call for almost nonexistent stock returns over the next 20 years.
Consulte Mais informação »
6 Moves to Help You Master One of the Best Abs Exercises Out ThereUse these movees to build upper body and lower body strength so you can prep your body to seriously smoke your core. 🔥
Consulte Mais informação »