The markets enjoyed the Independence day holiday near record highs though there is some signs of weakness. The S&P 500 (NYSE: SPY) starts the week with modest gains after seeing an uptick in volatility recently. Though many are calling for further weakness, the SPY still boasts gains of over 8% on the year. Technical traders still have to side with the bulls as the short term and long term trend are still higher.
The Nasdaq 100 (NASDAQ: QQQ) has become a completely different story lately as selling pressure has been strong and consistent. In the short term the uptrend has been broken as the selling volume has been relentless. Up days are met swiftly with selling pressure and any start higher has been met with selling as well. For the year the QQQ is still the best performer, up 15% but traders note that prices are well off their all time highs.
Oil service (NYSE: OIH) and anything oil related continues to get the bid. The OIH has added over 3% already this week as traders try and pick the bottom. Oil service stocks have been lower on the year by over 20% as weakness in oil continues to push the trend lower. Many are calling for a turnaround in the price of oil at these prices which would continue to help the service and explorers.
Financials (NYSE: XLF) have been the real story lately after the Fed gave the all clear to almost all the banking stocks. This led them to return money to shareholders by increasing dividends. Those actions have sent the financial s higher by over 1% on the week, and over 6% since this time last month. Thought the XLF has lagged recently it has taken back the driver seat and is in rocket mode as it heads back to the highs of $25.30