Taking a look at the strongest performing ETFs provides a look at which sectors/countries are currently providing the best investment opportunities.  The list below shows ETF’s above both support of the 50 and 200 day moving averages as well as a combined DI 20 and DI 40 score above zero.  The DI score is a proprietary indicator of SelfInvestors.com and measures demand in a stock/ETF by combining price and volume movements. 

Clearly, strength remains in Medical/Health/Biotech.  Select emerging markets are doing well in addition to utilities and realty.

Ticker	Chart	Name	Price	% Price Change	% Vol Change	DI 20	DI 40	RS	% From 50DMA	% From 200DMA
BBH		HLDRS Biotech	159.75	-0.14	-48	10	23	76	9.91	11.77
TLT		Ishares Lehman 20+ Yr Bonds	91.06	-0.74	-34	1	2	65	1.22	2.5
PPH		HLDRS Pharma	75.38	-0.51	-38	5	7	67	2.99	4.68
EWM		Ishares Malaysia	7.11	-0.28	174	5	1	63	3.19	2.6
EEM		Ishares Emerging Markets	208.55	0.27	-17	3	0	77	0.91	10.77
EWW		Ishares Mexico	24.85	0.65	-39	3	2	64	1.18	9.23
ICF		Ishares Realty	133.21	-1.03	15	3	-1	83	3.74	5.83
IYH		Ishares Health Care	61.04	-0.51	147	3	3	69	2.93	6.75
IDU		Ishares Utilities	72.7	-0.12	-16	1	0	78	0.97	8.75

(Data as of 12:30PM EST)
Today’s strong market is led by transportation, financials, energy and semis.  Select emerging market ETF’s are doing well.

Ticker	Chart	Name	Price	% Price Change	% Volume Change	RS	% From 50DMA	% From 200DMA
TLT		Ishares Lehman 20+ Yr	91.26	-1.17	183	69	1.59	2.84
IGW		Ishares Semiconductor	48.62	1.55	94	38	-4.48	-3.34
XLY		SPDR Consumer Discretionary	31.7	1.18	200	44	-3.71	-2.85
XLF		SPDR Financial	28.9	1.26	134	49	0.31	-0.65
EEM		Ishares Emerging Markets	205.48	2.02	239	71	-1	9.58
EWG		Ishares Germany	17.7	1.72	331	62	-2.21	3.75
RKH		HLDRS Regional Banks	135.36	1.24	242	56	1.68	0.07
EWY		Ishares South Korea	31.56	3.71	163	68	-3.16	12.31
OIH		HLDRS Oil Service	90.44	1.56	79	79	-4.81	7.04
XLE		SPDR Energy	40.59	0.69	55	87	-4.65	9.88
IYT		Ishares Transportation	62.87	1.16	450	66	-4.21	0.38

Good afternoon,

(Data as of 2:25EST)
While the market continues its wide yo yo type moves today, the selling isn’t particularly intense as you can see by taking a look at the index ETFs below.  Notice the volume is below average heading into the last hour of the trading day.  The only sector getting hit with high volume is the energy/oil sector, although it has been bouncing back in the last hour or so.  The Oil Services HLDRS (OIH) is down 1.5% with volume 73% greater than average.   Both the SPDR and Ishares Energy ETFs (IYE and XLE) are down signficantly with volume greater than 100% above the average.

Not much conviction behind today’s rally – Realty and Utilities lead the way.

(As of 12:45EST)
Many sectors participating in today’s move as volume picks up substantially.  Possible areas of support at 10,000 in the Dow and 1,900 in the Nasdaq are emerging, but I need to see healthy conolidation following today’s move before I would consider entering any long trades.  Today is a good start.

For the second day in a row, big pharma is seeing some profit taking while energy and basic materials bounce back with good volume for the second day in a row.  Small caps are also faring quite well today which is reflected in the Russell 2000 ETF’s. (prices as of 2:30EST)

The market is moving lower this morning with volume well above average which is reflected in the Q’s and Diamonds, where volume is currently running around 75% greater than average.  Both the Dow and S&P sit at lows for the year.  If they close there today, be prepared for a much larger move down.  The market is being led down once again today by transportation (which has sold off for the 3rd day in a row) and materials.  Money also continues  to flow out of emerging markets.  After several days of heavy selling, energy stocks have rebounded today as crude flirts with $50/barrel.

Money continues to flow out of materials and energy and into pharmaceuticals.

Note About DI 20, DI 40 Scores:

The Demand Indicators measure price and volume movements to gauge institutional demand.  Points are awarded for high volume moves up (institutional buying) as well as light volume selling (indicating healthy consolidation).  The score decreases with low volume buying (indicating demand is waning) as well as high volume selling (institutions dumping shares).  The higher the overall score, the greater demand for the stock. 

Clearly, rotation into big pharma is occurring as evidenced by the DI scores for the HLDRS Pharmaceutical ETF (PPH).  Merck (MRK) and Pfizer (PFE) have moved impressively off the lows, while Johnson and Johnson (JNJ) continues its strong uptrend.  These 3 companies are the largest holdings in the PPH ETF.

Given the broad end of day sell off, I thought I’d post the end day results for ETF Movers as well- note the big end of day sell off in the transportation for the second day in a row.

I remember looking at the ETFs around mid day and seeing a whole lot of red, with big volume, so today’s reversal was mighty impressive and the kind of move that hints at a correction bottom.  We’lls see how it shakes out over the next couple of days.  Anyway,  here are today’s ETF movers:

Up With Volume:

SPDR Consumer Discretionary (XLY)  Up    .7%,    Volume up 291%
HLDRS Telecom (TTH)                     UP .86%,      Volume up 155%
Ishares Small Caps (IJR)                   Up .75%,      Volume up 110%
Ishares Emerging Markets (EEM)        Up .68%,      Volume up  80%
HLDRS Retail (RTH)                          Up 1.05%,    Volume up   72%
Ishares Lehman 20+ Yr Bonds (TLT)    Up .84%       Volume up   66%
SPDR Financial (XLF)                        Up 1.3%       Volume up   56%
Ishares Real Estate (IYR)                   Up 1.45%      Volume up  60%

Down With Volume

SPDR Energy (XLE)                 Down 1.49%, Volume up 83%
HLDRS Internet (OIH)              Down  .7%,   Volume up 69%