XLF pulled back slightly this week but overall remains constructive. The index is trading 2% above support at its 21-DMA ($50.30), with next support at the 50-DMA ($49.7; -3%). RS line is trending upward, while RS Rating has remained above 80 over the past six weeks.
Author: shailendra bhogaraju
O’Neil Financial Sector Weekly
XLF is trending higher, just below its all-time highs. The index rebounded after testing key support at its 100-DMA ($47.8; 8% away).
RS line is trending upward, while RS Rating has been above 80 over the past six weeks. Up/Down Volume ratio of 1.0 should improve.
O’Neil Financial Sector Weekly
XLF has reclaimed all its key moving averages and is trading 3% off highs. The index rebounded after testing its key support at the
100-DMA ($47.5; 5%). RS line is trending upward, while RS Rating has stayed above 80 over the past six weeks. Up/Down Volume
ratio of 1.1 indicates good demand for the stocks in the sector.
O’Neil Financial Sector Weekly
XLF is testing its 100-DMA ($47.3; -1%) that has been a key level of support since November 2023, except for a few sessions in
August 2024 when it traded below the moving average before quickly reclaiming it. Immediate support is near its September 2024 high
($45.9; -4%), followed by its 200-DMA ($44.5; -7%). RS line is trending downward, with a good RS Rating of 81. However, Acc/Dist
Rating turned negative and Up/Down Volume ratio declined below 1, indicating weak demand for the stocks in the sector.
O’Neil Financial Sector Weekly
XLF was down 33bps last week and remained below its 50-DMA ($49.1; +1%). It is trading 6% off highs, with next support at the 100-
DMA ($47.2; -3%). RS line is trending downward, with an RS Rating of 80 and a neutral Acc/Dist Rating of C+.
O’Neil Financial Sector Weekly
XLF has breached support at its short-term moving averages and is trading 6% off highs. It is rolling over after hitting resistance at its
50-DMA ($48.9; +1%). Look for immediate support at its 100-DMA ($46.9; -3%). RS line is trending downward, with a good RS Rating
of 82 and a neutral Acc/Dist Rating of C+.
O’Neil Financial Sector Weekly
XLF was down 2% last week and broke below its 50-DMA support. It is trading 6% off-highs, with next support at the 100-DMA ($46.6;
-4%). RS line is pulling back, with an RS Rating of 81 and an Acc/Dist Rating of C+.
O’Neil Financial Sector Weekly
XLF declined 1.7% last week and has pulled back 4% from highs. It broke below its 21-DMA and has next support at the 50-DMA ($48.6; -3%). RS line is pulling back, with an RS Rating of 79 and an Acc/Dist Rating of B-.
O’Neil Financial Sector Weekly
XLF has pulled back 4% from highs and is testing support at its 21-DMA ($49.9). Next support is at the 50-DMA ($48.1; -3%). RS line
is pulling back, with an RS Rating of 77 and an Acc/Dist Rating of B-.
Select Ideas from a Financial Conference
Attached is a note from Shailendra Bhogaraju, Senior Equity Research Analyst, and Kunal Gupta, Equity Research Analyst, previewing select companies presenting at a financial conference next week.
- Financial is the leading sector this year, with the XLF up 34% year-to-date. It is trading 2% off highs and testing support near its 21-DMA ($49.9; -1%). The next level of support is near the 50-DMA, coinciding with October highs of $47.8 (-5%).
- Included are annotated datagraphs for the stocks that have broken out, including
- U.S. Focus List stock Tradeweb (TW).
- US Bancorp (USB).
- Truist Financial (TFC).
- Berkley WR (WRB).
- The Carlyle Group (CG).
