Below is a look at the average stock’s distance from its 50-day moving average using the new GICS sector re-classifications that were made earlier this week. As shown, the average stock in the broad S&P 500 is 1.08% above its 50-day moving average, while Health Care stocks are the most extended at +3.92%. Four other sectors have readings above the overall average — Industrials, Energy, Technology, and the new Communication Services sector.
On the downside, there are three sectors with negative readings. The average Real Estate stock is 2.14% below its 50-DMA, which is the weakest of any sector. Utilities and Financials are the two other sectors in the red.
In terms of breadth, 59% of S&P 500 stocks are above their 50-day moving averages, and five sectors have stronger readings than that — Health Care (86%), Industrials (76%), Energy (71%), Technology (68%), and Communication Services (64%).
Just 10% of Utilities stocks are above their 50-day moving averages, which is by far the weakest breadth reading of any sector. Financials and Real Estate are the only other sectors with readings below 50%.
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