Health Care, Materials and Industrials continue as sector leadership with Tech regaining the green zone led by Semis and Electronic Eq/Instr. Consumer Discretionary is holding the top relative momentum spot led by Specialty Retail. Financials retreated though is holding high in the grid (due mainly to Banks) with Consumer Finance continuing to strengthen. Higher dividend sectors Utes and Real Estate remain under relative distribution as does Energy (due mostly to Oil & Gas. Biotech’s relative momentum has ebbed but no sign of yielding leadership. Aerospace & Defense at the vanguard of Industrials’ resurgence. Specialty Retail has fared well during the holidays. Software making a slow recovery – not yet under relative accumulation across entire industry but select names are working. Most unloved: Oil & Gas, HCare Tech, Wireless Telecom, Equity REITs, Beverages, Personal Products, Chemicals.
Technically, the R2000 ready to start ultimate move of final fifth wave rally that likely extends to 2750 by early Jan `26 before consolidating gains in the 2500 area. Next move should push to new highs before first ten days of 2026.