From the desk of Steve Strazza @Sstrazza
Check out this week's Momentum Report, our weekly summation of all the action from a Macro, International, Sector, and Industry Group level.
By analyzing the short-term data in these reports, we get a more tactical view of the current state of markets. This information then helps us put near-term developments into the context of the big picture and provides insights regarding the structural trends at play.
Let's jump right into it with some of the major takeaways from this week's report:
* ASC Plus Members can access the Momentum Report by clicking the link at the bottom of this post.
Macro Universe:
- Our Macro universe performance was positive across the board this week, as 81% of our list closed higher with a median return of 1.57%.
- The biggest winner of the week was Oil $CL, which gained 10.30%.
- Meanwhile, the week's worst performer was the Volatility Index $VIX, which fell by -11.69%.
- Several US Large-Cap indices finished the week at all-time highs.
- Oil $CL posted a bullish reversal week.
- Only about half of the assets on our macro list are in bullish momentum regimes, but we're seeing this improve.
- 68% of the assets on our Macro list are within 5% of their 52-week highs.
- 40% of the assets on this list posted new 4-week highs, and 23% made fresh 52-week highs on the week as breadth expands for risk assets.
- 53% of the assets closed the week above last week's highs.
International Universe:
- International equities' performance was positive across the board again this week, as 95% of our list closed higher with a median return of 2.51%.
- The biggest winner of the week was Peru $EPU, which gained a massive 9.89%.
- Denmark $EDEN was the biggest loser, dropping -0.74%.
- 60% of the assets on our international list are within 5% of their 52-week highs.
- 53% of the assets on this list closed the week higher than last week's high.
- Egypt $EGPT posted a bullish reversal week.
- Momentum remains constructive from a structural perspective, as 64% of the ETFs on our list are still in bullish regimes.
- 45% of the assets on this list posted new 4-week highs, and 20% finished the week at 52-week highs.
- Things continue to improve for our international universe as breadth and participation broaden across the globe.
US Sector Universe:
- Our US sector universe saw strength from the bulls again this week, as 83% of our list closed higher with a median return of 2.77%.
- The biggest winner of the week was Small-Cap Energy, which gained a massive 16.30%.
- Large-Cap Utilities $XLU was the biggest loser this week, dropping -2.02% as the safe-haven trade fizzles out.
- Many Large-Cap sectors finished the week at all-time highs and continue to be strong, but we're seeing some short-term outperformance from SMIDs which is an indication of improving risk appetite.
- Momentum remains positive from a structural perspective as 74% of the assets on our list are in bullish regimes.
- 79% of the assets on our sector list are within 5% of their 52-week highs. Here's what that metric has looked like over time:
- 53% of our list made new 4-week highs, while 21% made fresh 52-week highs.
US Industry Universe:
- Our Industry universe performance was impressive this week, as 98% of our list closed higher with a massive median return of 3.94%.
- The week's biggest winner was Oil & Gas Exploration & Production $XOP, which gained 13.98%.
- This week's biggest laggard was Pharmaceuticals $XPH, with a loss of -1.14%.
- The percentage of our list in bullish momentum regimes saw little change this week, with a current reading of 61%.
- We saw an uptick in ETFs within 5% of their 52-week highs, as this reading now sits at 46%.
- 59% of our list made new 4-week highs, and 20% made new 13-week highs.
That's it for this week's highlights!
