Weekly Market Review: July 3, 2009

I completely forgot about my weekly market review because of the July 4th long weekend! Here's a quick snapshot of the market from last week before the market opens.

Just when everyone is expected the week to pass by without much affair, S&P500 tanked 8 points at the open on Thursday (Friday was closed for July 4th weekend) and we closed below 900 for the week. The week before Independence Day is historically positive, on top of that most traders are on vacation, so this breakdown move is definitely unexpected. This reminds me of the saying by Atilla from xTrends, the market does the most obvious thing in the most unexpected way.

Anyway, we're heading to 880 in the pre-market on this Monday morning. Everyone is watching to see if this May's low can hold. We'll probably get a lot of choppy price action to shake both the bulls and bears out before any real move can mature.

[caption id="attachment_1552" align="aligncenter" width="500" caption="S&P500 ETF"][S&P500 ETF][][/caption]

[caption id="attachment_1553" align="aligncenter" width="500" caption="S&P500 ETF"][S&P500 ETF][][/caption]

GICS Sectors Review

The chart below is taken from CaraCommunity’s RSIApp.

Ticker![][] Last![][] RSI7d![][] RSI7w![][] RSI7m![][] Zone (estimate)![][]
[XLE][] \*
46.16 25.27 41.47 37.49
[XLB][] \*
25.15 33.83 47.67 41.87
[XLI][] \*
21.36 32.55 46.92 38.91
[XLY][] \*
22.29 35.39 48.93 44.23
[XLP][] \*
22.89 46 58.05 45.35
[XLV][] \*
25.75 44.06 57.54 44.7
[XLF][] \*
11.47 36.01 51.78 38.43
[XLK][] \*
17.83 40.58 59.52 48.41
[IYZ][] \*
17.32 33.28 50.44 42.4
[XLU][] \*
27.44 46.01 61.55 40.47

[S&P500 ETF]: http://traderpau.files.wordpress.com/2009/07/2009-07-06-spy.png [S&P500 ETF]: http://traderpau.files.wordpress.com/2009/07/2009-07-06-spy_prop.png