Financial ETFs, Energy ETFs: Sectors The Furthest From 52-Week Highs
16 December 2009 at 10:45 am by Gary Gordon
Scott the blogger doesn’t like to give us his full name. That said, I have found his ETF screens to be a reliable source of data.
For example, Scott’s served up a filter on the number of ETFs that hit new 52-week highs on Wednesday, December 15. If you incorporate leveraged funds, exchange-traded notes, as well as a few investments that haven’t been around for 52-weeks, the number is 68. Excluded them, and the number is approximately 60.
Peruse through the ETFs, and you’ll see the tech and health care sectors charging forward. Mid-sized companies in Mid-Cap ETFs are showing their peacock feathers. Companies that buyback their stocks are also hitting their stride. What’s more, according to Dow Theory, transports in the iShares Transportation Fund (IYT) may be giving further confirmation to the cyclical bull rally.
But wait… that’s not the story.
The way that I see it, the bigger story is the ETFs that have been indecisive. Most notably, financials, energy and China aren’t knocking on new doors. All 3 of these have been influential in the bull through October, even November; yet, all 3 seem to be stuck in neutral.
Here’s a table on how far each has drifted from 52-week highs:
| 3 ETFs That Have Not Been Hitting 52-Week Highs | |||||||
| Date of 52-Week | % Off High | Widest % Off High | |||||
| SPDR Select Energy (XLE) | 10/21/2009 | -7.1% | -10.5% | ||||
| iShares China 25 Index (FXI) | 11/16/2009 | -7.2% | -9.3% | ||||
| SPDR Select Financials (XLF) | 10/15/2009 | -9.6% | -12.6% | ||||
The question that a lot of people may be asking is whether the ETF Risk for China ETFs and Financial ETFs has increased. Or, conversely, does the pullback from a high present new opportunity.
If you’d like to learn more about ETF investing… then tune into “In the Money With Gary Gordon.” You can listen to the show “LIVE”, via podcast or on your iPod.
Disclosure Statement: ETF Expert is a web log (”blog”) that makes the world of ETFs easier to understand. Gary Gordon, MS, CFP is the president of Pacific Park Financial, Inc., a Registered Investment Adviser with the SEC. The company and/or its clients may hold positions in the ETFs, mutual funds and/or index funds mentioned above. The company does not receive compensation from any of the fund providers covered in this feature. Moreover, the commentary does not constitute individualized investment advice. The opinions offered herein are not personalized recommendations to buy, sell or hold securities. Investors who are interested in money management services may visit the Pacific Park Financial, Inc. web site.
Tags | "energy etf", "etf china", "etf financials", "etf holdings", "etf shares", "Etfs chinese", Energy ETFs
