All eyes appear to be on the Energy sector as it trades near the rising 200-day moving average.

The secular uptrend in commodities remains in place as the key parts of the complex hold support. The dollar is a key datapoint for risk assets.

Across the equity landscape, Low Volatility ratios have pared back much of their recent gains as equity indices have rallied to the upside.

Risk in the capital markets simply boils down to two varieties: idiosyncratic (asset-specific) and market risk (or Beta).

Over 60% of sector components have recaptured their own 50-day moving averages to the upside, but will it be enough to turn the tide?

Major equity indexes have rallied from support and are testing key resistance levels above their 10-week moving averages.

We review one of the most widely utilized products for obtaining broad international exposure within one ticker—ACWX.

Under the surface, Precious Metals and Agriculture are turning where they should, adding bullish fuel to Energy’s fire.

We explore some developments in the S&P 500 which have caught our attention, setting the stage for an incrementally bullish environment.

Could this be the beginning of a bearish to bullish reversal for the sector, or just another head fake?

Under the surface, relative performance vs. the S&P 500 maintains its uptrend, despite the recent pullback.

Continued weakness in the dollar could be bullish for equities and commodities. The bulls are in a position to take control; will they capitalize?

Growth to Value relationships has broken out of relative resistance levels and bearish momentum regimes to the upside in this past week of trading.

Using breadth as a reason to become bullish has produced a few “head fakes” in 2022. However, some developments catch our attention.

As the sector falters under the 50-day moving average, the former defensive outperformer appears to be rolling over on a relative basis.

Despite being a traditionally “defensive” sector in the S&P 500, the Real Estate sector remains under pressure in this environment.

U.S. equities staged impressive rallies to close near the top of their weekly ranges, setting the stage for potential follow-through this week.

Historically negative correlations of these relationships with the major indexes remain a major obstacle for the equity bulls.

The largest sector weight within the S&P 500 remains under pressure as the series of lower lows and lower highs define the downtrend.

Instead of writing that breadth is still bad, we’re going to introduce a concept that lends itself to further testing and analysis.

Financials remain in consolidation mode at the pre-COVID highs, an area that investors are watching closely for further price action.

Risk assets remain under pressure as investors await the CPI report this week that will likely have implications across asset markets.

Four of the five charts in today’s note paint the picture of a slowing growth environment, with increasing odds of a recession.

We want to highlight other metrics that are moving in the right direction while laying out the price action that we want to see from the index.

Materials reversed course and turned into a laggard after breaking through the key levels to the downside that defined the former outperformer.

The former sector leader of the S&P 500 faces a critical test at support after the sellers found the sector in the middle of last month.

Heightened volatility continues as the Consumer Staples sector oscillates around a long-term zone of support and resistance.

Equal weighted indexes relative to their market cap (or float) weighted indexes are a common method of measuring the strength of the average stock.

The sector has recaptured the pre-COVID highs to the upside, although it hasn’t been enough for the trend to turn bullish just yet.

Price action in the major equity indexes saw many countertrend bounces and tests of resistance over the past week.

Commodity funds begin to falter as the percentage of funds maintaining ground above their 50 and 200-day moving averages continues to wane.

AWCI ETF has been a staple in many portfolios throughout the years. As we dive deeper under the surface, magnified risks could be apparent.

Industrials have not been spared from the sellers during this period of heightened volatility over the past several weeks.

Today, we note that there has not been an explosion in the percentage of stocks reaching oversold levels. Thus far, we have not come close.

Health Care has both lost an important long-term support zone and experienced a 50/200-day moving average Death Cross in the same week.

While the early days of the advance from the COVID lows favored industrial metals over precious metals, the tides appear to be shifting.

Last week, we were looking for more from the new highs data; unfortunately, for equity bulls, we did not get more.

For fully invested market participants, the group’s outperformance is testing a key zone that bulls are watching closely.

With the sector breaking down below the pre-COVID peak and declining 50-day moving averages, the bearish price action continues to play out.

Bears remain in control of the trends in the U.S. equity markets as another week begins. The S&P 500 has lost ground 9 of the past 10 weeks.

As the downside pressure resumes across major equity indexes around the world, fixed income funds continue to offer no port in the storm.

As the equity market fails to maintain upside traction on rally attempts, we highlight three key intermarket relationships.

The Technology sector is hugging the 2,480 zone from below and struggling to gain any material outperformance relative to the S&P 500.

The most compelling data comes to us from the S&P Small Cap 600, an index whose relative strength we’ve been highlighting for a few weeks.

Financials are in the process of testing resistance after rebounding back on a bout of strength over the past several trading sessions.

Major domestic and international themes received a small positive improvement over the past week, but more work needs to be done.

Equities in the U.S. remain under pressure as the S&P 500 has closed lower in the eight of the past nine weeks.

High Yield credit staged a near-term rebound that appears to have characteristics different than the March rally for risk assets.

Despite the sideways choppy price action that has defined the sector all year long, the real action in the space is under the surface.

On the heels of a bullish TRIN reading, two important breadth developments set the stage for the bulls to take control of the trend.

After consolidating around the 50-day moving average for much of the 2nd quarter, Energy has moved to new highs for the year.

For the QUAL ETF, iShares screens for high return on equity, stable year-over-year earnings growth, and low financial leverage.

The relative performance of metals-related stocks could be signaling either continued strength or a pause in the downtrend.

The next move will determine if there is going to be further downside or if we have seen the lows for the move.

Consumer Staples have bounced from longer term support, attempting to make up for lost ground from heightened volatility.

The picture for the Communication Services sector has worsened since we last looked at the group in a bearish light in April.

As Global Equity market volatility remains elevated, the focus for investors who must maintain equity allocations continues to be a relative game.

Stocks remain under pressure in the U.S., with the S&P 500 and the NASDAQ 100 closing lower for the seventh consecutive week.

Short-term breadth is making a recovery attempt from washed-out levels, leaving the door open to potentially attack the major moving averages from below.

Global Equity & Interest Rate volatility continues to take its toll on balanced investors, with Commodities being the only space that’s held its ground.

The losing streaks for U.S. and global equity markets continue to expand, and it is hard to make a compelling case for the asset class.

With equities under pressure, it may be surprising to see Small Caps holding up relative to Large Caps over the past two weeks.

It is bad. The question is, “is it bad enough?” We are not seeing divergences that lead us to believe that a durable bottom is in place.

Unimmune to the selling pressure, Utilities have finally given way to the market-wide volatility that’s gripped the indexes and sectors alike.

Fans of Who Charted? catch this preview of Research by Potomac’s Monthly Market Call with Dan Russo, CMT®, and Drew Wells, CMT®, CIMA®.

Breadth in the space has become a condition of “so bad, it’s good.” Risk management remains key at these levels.

Across asset classes, timeframes, and geographies, price momentum continues to confound individual investors and hardened market researchers.

Key support levels haven’t broken, but there’s no denying the bearish bias to current trends we’ve been highlighting for the past few weeks.