In general, consumer staples are considered to be non-cyclical, meaning that they are always in demand, no matter how well the economy is performing. People tend to demand consumer staples at a relatively constant level, regardless of their price.We see this on weekly and daily charts of XLP, regardless of the fact that most sectors have made new all time highs.
The prior pivots for trading this week is 55.48 and 54.56 on XLP, which are also the highs and lows on weekly chart of the last 4 weeks. As long as XLP hold 54.56, stay bullish and watch for follow through to clear 55.48 and afeter to all time hi – 56 trading strong stocks. If bears build up power and broke 54.56, see if they hold and watch for follow through to 53.75 trading weak stocks.
Strong stocks :
PG, PM, MO, PEP, CAG.
Weak strocks :