No mercy on Wall Street. Post-election profit taking pressures continue to overpower bullish bargain shoppers as “fiscal cliff” worries have taken center stage. Amid growing fears over looming tax-hikes, escalating tensions in the Middle East between Israel and Palestine have only added to the clouds of uncertainty plaguing the global economic outlook. The S&P 500 Index has managed to sink below our outlined level at 1,375 and is now fighting to stay above the next major support which comes in at around 1,350 [see Free 7 Simple & Cheap All-ETF Portfolios].
Below, we highlight how the ETFdb Analyst Picks have been performing, noting any important fundamental catalysts while also keeping an eye on key technical levels for our recommendations:
|Utilities Select Sector SPDR|
The utilities sector has been by far one of the worst performers following the presidential election, with MLPs being perhaps the only asset class to post a more dismal return over the last two weeks. The sell-off in XLU can be largely attributed to overblown “fiscal cliff” fears, with many anticipating a worst case scenario of tax hikes across the board. This recommendation is showing signs of stabilizing, and seeing as how the fundamental appeal of this sector remains unchanged, we feel this steep pullback should welcome buyers over the coming weeks.
Pro Membership Required to Continue Reading
- Access to 50+ All-ETF model portfolios. Whether you're a long-term, buy-and-hold investor or a more active trader looking to establish a tactical position, our collection of ETFdb Portfolios has something for everyone.
- ETFdb Realtime Ratings show you exactly where each fund stacks up next to the competition. Get objective, in-depth, custom research on every ETF.
- Pro members have Unlimited Excel Download capabilities across the entire database; users can easily download more than 200 data filled paged and also export results to Microsoft Excel from every tool.
- Get Actionable ETF Investment Ideas every week with access to ETF Insider, the 2x weekly newsletter that combines technical and fundamental ETF analysis to identify compelling opportunities.
- ETFdb Analyst Picks offer investment recommendations suited for longer-term traders; each Analyst Pick includes a fundamental rationale as well a suggested stop-loss and price target.
Disclosure: No positions at time of writing.
ETF Database is not an investment advisor, and any content published by ETF Database does not constitute individual investment advice. The opinions offered herein are not personalized recommendations to buy, sell or hold securities. From time to time, issuers of exchange-traded products mentioned herein may place paid advertisements with ETF Database. All content on ETF Database is produced independently of any advertising relationships. Read the full disclaimer here.