Let’s take a look at the sector ETF charts.

Most still look like they are just beginning a correction of the almost vertical move since the beginning of the year.   Only the financial ETF has successfully tested its 50-day.  The materials ETF broke its 50-day last Wednesday.

It doesn’t look like it’s time to back up the truck.

Click charts to enlarge and for better resolution.

Consumer Discretionary (XLY)
The consumer discretionary ETF (XLY) Looks like it’s not done pulling back with the 50-day first level of support about $.12 below Monday’s low.

Consumers Staples (XLP)
Stocks don’t go up in a straight line?  Wouldn’t know it if you look at the performance of the consumer staples ETF (XLP) as investors were scooping up the dividend stocks.  Looks way overextended

Financials (XLF)
Nice bounce off the 50-day moving average today.   Financials will probably remain range bound until markets get more comfortable with Italy.  Let’s see if the XLF can stay above the  50-day over the next week.

Industrials (XLI)
Consolidation in order and would like to see test of 50-day.

Materials (XLB)
The XLB peaked at the end of January and is down over 5 percent from its high.  In no man’s land and would give it a shot at the 200-day, if it gets there.

Energy   (XLE)
Not yet.

Utilities (XLU)
Only for the yield and that’s not our schtick.

(click here if charts are not observable)