Sectors · weekly read
Where the flow is this week.
Updated ·
Ranked by combined momentum (RSI(14) +% distance from SMA50). Prices/technicals computed from split-adjusted daily bars through the 2026-09-10 close. Regime read: NEUTRAL (VIX 15.72, calm; breadth 41.3% of names above their 200-EMA, mixed; SPY +6.2% vs 200-EMA).
Which US sectors have the strongest momentum right now?
As of the 2026-09-10 close, Energy (XLE) ranks first of 12 US sectors on combined momentum, with RSI 65.3 and +8.43% versus its SMA50. Full ranking:
| Rank | Sector | Ticker | Price | RSI(14) | vs SMA50 | vs SMA20 | Signal |
|---|---|---|---|---|---|---|---|
| 1 | Energy | XLE | $64.94 | 65.3 | +8.43% | +2.25% | Above both MAs, momentum positive |
| 2 | Tech | XLK | $185.26 | 50.9 | +1.41% | -0.23% | Neutral-positive — above SMA50, RSI mid-range |
| 3 | Semis | SMH | $560.35 | 48.2 | -1.71% | -0.72% | Cooling — RSI under 50 or losing a near MA |
| 4 | Financials | XLF | $56.88 | 44.5 | -0.31% | -1.49% | Below MAs — out of favor |
| 5 | S&P 500 | SPY | $757.87 | 44.2 | -0.05% | -1.26% | Below MAs — out of favor |
| 6 | Healthcare | XLV | $165.67 | 41.7 | -0.28% | -3.14% | Below MAs — out of favor |
| 7 | Staples | XLP | $83.11 | 38.3 | -2.20% | -2.60% | Below MAs — out of favor |
| 8 | Utilities | XLU | $42.53 | 39.5 | -3.91% | -1.71% | Below MAs — out of favor |
| 9 | Materials | XLB | $50.76 | 37.1 | -2.09% | -3.45% | Below MAs — out of favor |
| 10 | Consumer Disc | XLY | $111.95 | 36.6 | -3.52% | -3.71% | Below MAs — out of favor |
| 11 | Real Estate | XLRE | $43.03 | 31.9 | -3.88% | -3.33% | Most oversold — deep risk-off / mean-reversion candidate |
| 12 | Industrials | XLI | $170.52 | 30.0 | -5.54% | -4.33% | Most oversold — deep risk-off / mean-reversion candidate |
What stands out in this week's sector flow?
- Leadership: Energy (XLE) tops the table — RSI 65.3, +8.43% vs its SMA50. Extended but momentum intact.
- Weakest: Industrials (XLI) is the most oversold — RSI 30.0, -5.54% vs SMA50. Avoid for fresh momentum until it reclaims its MAs.
- Breadth of strength: 2 of 12 sectors sit above their SMA50. Narrow leadership — watch for deterioration.
- Extension check: No sector at RSI ≥ 72 — no blow-off-top reading; momentum can run.
Which sectors are worth overweighting or avoiding?
Where momentum lives (leadership)
| Sector | Ticker | RSI | vs SMA50 | Read |
|---|---|---|---|---|
| Energy | XLE | 65.3 | +8.43% | Leader; RSI < 72 leaves room. |
Lagging / avoid for fresh momentum
- Semis (SMH) — RSI 48.2, -1.71% vs SMA50: below trend — the setup needs a reclaim.
- Financials (XLF) — RSI 44.5, -0.31% vs SMA50: below trend — the setup needs a reclaim.
- S&P 500 (SPY) — RSI 44.2, -0.05% vs SMA50: below trend — the setup needs a reclaim.
- Healthcare (XLV) — RSI 41.7, -0.28% vs SMA50: below trend — the setup needs a reclaim.
- Staples (XLP) — RSI 38.3, -2.20% vs SMA50: below trend — the setup needs a reclaim.
- Utilities (XLU) — RSI 39.5, -3.91% vs SMA50: below trend — the setup needs a reclaim.
- Materials (XLB) — RSI 37.1, -2.09% vs SMA50: below trend — the setup needs a reclaim.
- Consumer Disc (XLY) — RSI 36.6, -3.52% vs SMA50: below trend — the setup needs a reclaim.
- Real Estate (XLRE) — RSI 31.9, -3.88% vs SMA50: mean-reversion bounce candidate, not a trend long.
- Industrials (XLI) — RSI 30.0, -5.54% vs SMA50: mean-reversion bounce candidate, not a trend long.
Is money rotating between sectors right now?
Regime: NEUTRAL. Leadership sits in XLE, XLK, SMH; the laggards are XLY, XLRE, XLI. Watch whether leadership rotates toward defensives — that would mark the regime turning.
Monitor:
- VIX > 20 = calm regime breaking, first risk-on crack (currently 15.72)
- XLE RSI > 72 / XLK RSI > 72 / SMH RSI > 72 = leaders extended, tighten stops (currently 65.3, 50.9, 48.2)
- Breadth < 50% above 200-EMA = participation deteriorating (currently 41.3%)
Deterministic regen from a US exchange daily bars + macro-regime.json, refreshed every trading day — latest 2026-09-10 · prices through 2026-09-10 close. Research only — no positions, sizes, entries, or P&L.