Tech Drops While Finance Rises
The S&P 500 slipped a little over 1% last week. Inside the index, each sector moved differently.
Technology, the biggest part of the portfolio, fell more than 4%. That loss pulled the whole portfolio down. Energy, which is not in the portfolio, went up 3.7%. Financials grew 0.1%, giving a small boost. Industrials and Health Care each lost about 2% and 1% respectively, hurting performance. Real Estate added 1.4% and helped a bit.
Even with the good spots, the portfolio could not keep up with the S&P 500. It lagged the benchmark by about 1% for the week and the gap to the index has grown to roughly 9% since the start.
Changes in the Top Five Rankings
The ranking of the top five sectors shifted a little, but the actual mix stayed the same. Technology is still first. Financials jumped from fourth to second place. Industrials and Health Care each slipped one spot, landing at third and fourth. Real Estate stayed fifth.
In the lower half, Energy climbed from tenth to sixth. Consumer Staples held seventh. Utilities, Materials and Consumer Discretionary each fell one rank. Communication Services stayed at the bottom.
- Technology – XLK (53%)
- Financials – XLF (19%)
- Industrials – XLI (12%)
- Health Care – XLV (13%)
- Real Estate – XLRE (3%)
- Energy – XLE
- Consumer Staples – XLP
- Utilities – XLU
- Materials – XLB
- Consumer Discretionary – XLY
- Communication Services – XLC
Weekly RRG Overview
Technology sits alone in the leading quadrant. Health Care and Financials are moving fast toward better positions, which explains their rise. Industrials and Real Estate are still in the lagging area but remain among the stronger half of the market.
Daily RRG Snapshot
On the daily chart, Financials and Health Care, which were strong weekly, are now slipping into a weaker zone. Technology, though still in the lagging side, appears to be ending its correction and is turning upward, but it is at its lowest daily level, which raises concern.
Industrials and Real Estate stay in the lagging quadrant. Real Estate shows early signs of recovery, which could help its weekly performance later.
Sector Highlights
Technology
The price is stuck between a lower line at 170 and an upper line just under 200. Relative strength is slipping, yet it should find a floor near the previous year’s peak.
Financials
Financials are moving up but meet a resistance line that blocks further gains. Breaking that line would allow more growth. Strength is rising after falling in late 2025.
Industrials
Industrial prices travel inside an upward‑sloping channel and stay above the breakout level of the previous pattern. Strength is stable, and the sector shows a positive direction.
Health Care
Health Care is testing a former resistance level but support is still holding. Strength is leveling out and may be turning upward after a long decline.
Real Estate
Real Estate is working to escape a flat pattern with resistance around 45.50. A brief move above that level happened last week but closed lower. A clear breakout would be a strong positive sign.
Portfolio Performance
The top five sectors stay the same, with Technology still the biggest at 53%. The rest of the market now has a more even share. Financials, Industrials and Health Care each hold over 10%, while Health Care is close to 19%.
Because Technology performed poorly, the gap between the portfolio and the S&P 500 has widened to about 9% since the start.
Source: Materials provided by https://articles.stockcharts.com.Note: Content may be edited for style and length.