Attention: your browser does not have JavaScript enabled!

For full functionality of this site it is necessary to enable JavaScript.
Click Here to learn how to enable JavaScript.

decision point logo
  • Home
  • About Us
  • Subscriptions
  • Blogs and Links
New around here? Subscribe now! Forgot password?

Manage Account

  • HOME
  • ABOUT US
  • SUBSCRIPTIONS
  • BLOGS AND LINKS

Utilities Were the Only Sector to Close Higher This Month?

Published on September 30, 2020 at 08:45 PM by Erin Swenlin

DecisionPoint Alert

(This is an excerpt from today's member only DecisionPoint Alert on DecisionPoint.com)

The Utilities SPDR (XLU) is the only sector that is up over the past month. Yes! It surprised me too, but you can see the graphic below! Yet today, we have an IT Trend Model Neutral signal given the 20-EMA had crossed below the 50-EMA while the 50-EMA was above the 200-EMA (had it been below the 200-EMA it would've been a SELL signal). Ah! But we also had a new LONG-term Trend Model BUY signal trigger today as the 50-EMA crossed above the 200-EMA. Mixed messages? I don't think so when you look at the sector chart.






Don't miss the October 5th free DP Trading Room! I will have guest Julius de Kempenaer from RRG Research. He will show us how he uses RRGs to trade!

***Click here to register for this recurring free DecisionPoint Trading Room!***

Did you miss the 9/28 trading room? Here is a link to the recording (password: FT&&l3#K). For best results, copy and paste the password to avoid typos.





Looking at the DecisionPoint indicators on the XLU chart, it doesn't look that terrible. Part of the problem is that price action has been mostly sideways, traveling toward the apex of a symmetrical triangle. This has brought the EMAs close enough together that they are "braiding" and triggering Trend Model crossover signals.

When you dig down into those indicators you can see a now positive RSI, a positive crossover of the BPI, a PMO crossover BUY signal and plenty of support from component stocks with 67% having price above the 20-EMA and 61% having price above the 50-EMA. The Silver Cross Index (SCI) is in near-term oversold territory and we are seeing a slight rise in the Golden Cross Index (GCI).

Conclusion: I'm not a huge fan of the Utilities sector for investing right now, I'd like to see the IT Trend Model move to a BUY. Sideways price action isn't particularly profitable. The indicators do leave me bullish on this sector, but I do worry that they are near-term overbought. In my DP Diamonds Reports I haven't featured any Utilities as they are mostly absent from my scan results. If you like the sector chart above, then you will love your membership to DecisionPoint.com where you can access the DP Sector ChartList of all of the sectors with the same in-depth indicators that reveal the true story behind the price action. Come try us out with a free trial! Subscribe to the Bundle package and use coupon code: dptrial.

Happy Charting! - Erin Swenlin


Technical Analysis is a windsock, not a crystal ball.




As investors we want to accomplish two basic things: (1) Determine the trend and condition of the market, and (2) select stocks that will ride that tide. The DecisionPoint Alert helps with the first step, and DecisionPoint Diamonds helps with the second. Go to DecisionPoint.com and SUBSCRIBE TODAY! (Charter Subscriber Discounts Available!



Helpful DecisionPoint Links:

DecisionPoint Alert Chart List

DecisionPoint Golden Cross/Silver Cross Index Chart List

DecisionPoint Sector Chart List

DecisionPoint Chart Gallery

Trend Models

Price Momentum Oscillator (PMO)

On Balance Volume

Swenlin Trading Oscillators (STO-B and STO-V)

ITBM and ITVM

SCTR Ranking



Blog Archive
Previous Article
Next Article

Contact Us

Email: support@decisionpoint.com

© Proudly created by Alamo City Marketing Solutions

Socialize With Us

DecisionPoint logo

DecisionPoint is not a registered investment advisor. Investment and trading decisions are solely your responsibility. None of the DecisionPoint newsletters or web site materials should be interpreted as a recommendation or solicitation to buy or sell any security or to take any specific action.

DecisionPoint does not represent or endorse the accuracy or reliability of any of the information, content, or advertisements contained on, distributed through, linked from, downloaded or otherwise accessed from any of the services contained on this web site or in our newsletters, nor the quality of any products, information or other materials displayed, purchased, or obtained by you as a result of an advertisement or any other information or offer in or in connection with the materials. You hereby acknowledge that any reliance upon any Materials shall be at your sole risk. It is your responsibility to verify from other sources, such as your broker, critical elements of a decision to act. DecisionPoint reserves the right, in its sole discretion and without any obligation, to make improvements/changes to, or to correct any error or omissions in any portion of the Materials.

THE SERVICE AND THE MATERIALS ARE PROVIDED BY DECISIONPOINT ON AN "AS IS" BASIS, AND DECISIONPOINT EXPRESSLY DISCLAIMS ANY AND ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, WITH RESPECT TO THE SERVICE OR ANY MATERIALS AND PRODUCTS. IN NO EVENT SHALL DECISIONPOINT BE LIABLE FOR ANY DIRECT, INDIRECT, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES OF ANY KIND WHATSOEVER WITH RESPECT TO THE SERVICE, THE MATERIALS AND THE PRODUCTS.