Name: The Sector Rotation Just Changed. Here’s What’s Leading
Uploaded: 2026-08-24
Description: XLY is improving from a strong underperformer to neutral with a positive outlook, as relative strength momentum picks up.

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And then the last one is consumer discretionary, and that's also a a pretty important sector. There's a couple of big stocks in there. It is moving into the improving quadrant, and that warrants an a move from underperform to neutral with a positive outlook while it's moved into the improving quadrant.

And then finally, there is >> [clears throat] >> consumer discretionary relative strength still in a downtrend, but starting to pick up a little bit of momentum. You can see that the last So, since 1st of June, we started to move quite a sideways.

That's why that green RS momentum line has started to move up and push above 100, and it's now starting to drag the RS ratio line higher. Price probably still needs a little work, but I think that it could be on the improving side.

So, getting from a very strong underperformer now to a neutral, little positive outlook for the consumer discretionary sector. So, no longer a strong underperformer.

What this channel has said about $XLY

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2026-09-11Bearish

Consumer discretionary, I talked about interest rates on the rise. And these discretionary, particularly retail-related stocks, are getting hit. We are still very much in a confirmed downtrend and then we have these shorter term moving averages closing below the longer term. This is 21 day down through the 200 and that is noted as a death cross. Quite simply, it creates a heavier pattern so that in an effort to reverse it, it will take a little bit longer but certainly we are seeing weakness in that discretionary area.

Quote at 09:29 ›

2026-08-24This one

And then the last one is consumer discretionary, and that's also a a pretty important sector. There's a couple of big stocks in there. It is moving into the improving quadrant, and that warrants an a move from underperform to neutral with a positive outlook while it's moved into the improving quadrant.

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