Always consider hidden risks
SP500 Consumer Discretionary (XLY): New High Ever ?
November 2  ( From Stockcharts, TradingView  )
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The Situation

​The Consumer Discretionary Sector  includes industries such as automobiles
​and ​components, consumer durables, apparel, hotels, restaurants, leisure,
​media, and retailing.

It remains as the name says it, discretionary spending for the consumer.
When we observe that sector start to underperform at the beginning of the year,
​we can ask ourselves is the whole market can keep up without taking into account
​the US Consumer which makes 70% of the whole economy.​​​

​​The Consumer Discretionary Sector ETF ( XLY ) is within a Rising
Wedge​ that ​started on September 29 with 80.45 as support and
​81.83 ​as resistance. ​Closing price on October 30 was 80.97.
( See first chart below - Red Trendlines ).

​​​The Consumer Discretionary Sector ETF ( XLY ) started to ​outperform compare to the ​Mighty SP500 Index ( SPY ETF ) since August 13 2015 and made it s highest ever level on a Relative Basis on October 30 2015. 
( See second chart below - Ellipse )...
But what it is interesting to observe is that the the Consumer Discretionary Sector is one of the best in terms of performance this year and still outperform the Mighty SP500 Index. ​( Second Chart Below - Blue Line - Ellipses ).

But the real interesting part is that the Consumer Discretionary Sector ETF ( XLY ) is making new highs with very little convictions according to the Bullish Percentage of the SP500 Consumer Discretionary Index (DISC) compare to the SP500 Bullish Percentage Index ​​ratio, the lowest since June 6 2015.
​( See third chart below - Ellipses )...


SP500 Consumer Discretionary (XLY): New High Ever ? $SPY, $XLY #xly #investing #sp500 #spy

SP500 Consumer Discretionary ETF XLY 
​Daily Candles​
20 DMA ( Yellow Line )​
50 DMA ( Red Line )​​

Consumer Discretionary ​ Sector ETF XLY
over SP500 Index - SPY ETF( Blue Line )
20 DMA ( Yellow Line )​

​SP500 Consumer Discretionary Bullish % Index (  Dots )
SP500 Index​ Bullish % Index
7 DMA ( Blue Line )