RRG Charts

December 2014

RRG Charts

Avoid Materials and Energy

by Julius de Kempenaer

It's sector rotation time again! For those of you who haven't noticed it by now. I am (trying to) maintain some sort of subject-rotation in my blogs as well. The subjects being; Asset Class rotation, (US) Sector rotation, International equity markets rotation, and (DOW 30) Individual stock rotation. They should each be 4-5 weeks apart which gives us roughly 4-5 new observations on a weekly RRG. Following this schedule brings me to the analysis of the S&P sectors again. The Relative Rotation Graph below holds the 9 S&P sector ETFs. Read More 

RRG Charts

Relatively Rock Solid Real-Estate

by Julius de Kempenaer

The Relative Rotation Graph below holds a number of ETFs that represent various asset classes while using VBINX (Vanguard Balanced Index Fund) as the benchmark. For sure that long fat green tail on VNQ catches my attention In my last blog on asset class rotation I mentioned in the conclusions that VNQ was a tricky one to analyse and that a 'decisive' move either way was needed to get a clearer picture. I guess this is one of these occasions where "you better be careful what you wish for because you may get it" Because a decisive move we got, let Read More 

RRG Charts

CVX lacking (relative) fuel

by Julius de Kempenaer

Below is the weekly Relative Rotation Graph holding the constituents of the Dow Jones Industrials index. My starting point to have a look at the relative positioning and movements of its components. Many observations can be made off of this chart but I have circled a few that I want to take a look at in this post. In the lagging quadrant (lower left) these are IBM and CVX. This is the area on the RRG chart where we find the stocks that are in a relative down-trend (JdK RS-Ratio < 100) against $INDU and that down-trend is still being pushed further down by negative relative momentum Read More