Below is our trading range chart for the S&P 500. Even though the index has yet to take out its May 21, 2015 all-time high, it is now at its most overbought level of the last year. The top of the red area in the chart below represents two standard deviations above its 50-day moving average. As you can see, the index has even moved above the top of the red zone to close out the week.
Below we provide trading range charts for the ten S&P 500 sectors. Consumer Staples continues to fly to new all-time highs, and the Industrials sector has just experienced a massive move higher to take it above its highs from last November. Telecom and Utilities have seen near-parabolic moves as well. The one standout to the downside is Health Care, which is still stuck in a nasty downtrend and can’t manage to get back above its 50-day moving average. Health Care is taking the place of Energy in terms of laggards in 2016.