Don't Ignore This Chart!

Here Are The Four Technology Industry Groups You Don't Want To Ignore

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After technology stocks (XLK, +2.70%) clubbed the energy sector (XLE, -2.64%) last week, the former group is now the leading sector over the past six months, widely outperforming the benchmark S&P 500 index.  Within technology, there are four industry groups that have been outperforming the benchmark technology sector ETF (XLK).  Here's a chart that summarizes all of this relative strength:

The relative strength of each of the industry groups is fairly obvious, although the relative performance of internet stocks ($DJUSNS:XLK) is a bit suspicious.  However, this group has seasonality on its side as it tends to outperform from September through December.  That recent relative uptrend shouldn't be ignored given this seasonal preference.

Happy trading!

Tom

Tom Bowley
About the author: is the Chief Market Strategist of EarningsBeats.com, a company providing a research and educational platform for both investment professionals and individual investors. Tom writes a comprehensive Daily Market Report (DMR), providing guidance to EB.com members every day that the stock market is open. Tom has contributed technical expertise here at StockCharts.com since 2006 and has a fundamental background in public accounting as well, blending a unique skill set to approach the U.S. stock market. Learn More
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