In this edition of Sector Spotlight, I look at last week’s rotations using daily Relative Rotation Graphs and go over the completed monthly charts for August to catch up on the long-term trends. After the break, I analyze the seasonality for US sectors and look for alignment of expected over-/underperformance with the tails on RRG. Materials (XLB) is lining up for a weak month, while Communication Services (XLC) has a more promising rotation ahead.
Sector Spotlight airs weekly on Tuesdays at 10:30-11:00am ET. Past episodes can be found here.