Stocks ended near their best levels Tuesday, recovering from their worst one-day drop in 2013, following Fed Chairman Ben Bernanke’s speech.
Most key S&P sectors ended in positive territory, led by materials and consumer discretionary, while financials ended lower. As such, the Consumer Discretionary Select Sector SPDR (XLY) added 0.99% to 49.92. Below is an updated look at a trade in XLY.
The graphic below is from our “U.S. Market ETF Trading Map”, which show the near-term technical bias and trading ranges for XLY and the S&P 500 index. As shown, the underlying is in a short-term bullish trend when the price bars are painted in green. The underlying is in a short-term bearish trend when the price bars are painted in red. The yellow bars identify period of neutral or sideways trading pattern. Additionally, the light-blue shading represents the short-term trading range. A move above or below that range is considered overbought (as represents by the red shading) or oversold (as represents by the dark-green shading). Readings above or below the red and green shaded areas are considered extremely overbought or extremely oversold.
Chart 1.1 – Consumer Discretionary Select Sector SPDR (daily)
As indicated in the above chart, our “U.S. Market ETF Trading Map” rates XLY as a Hold. XLY is currently undergoing a short-term rebound after recent pullback found support just above 49.
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