ETF Power Rankings Archives Articles

While value stocks have been beaten down in December, what remains unchanged is the weakness out of energy.

Just look at how much red is in all the energy industry groups.

The broader sector has been in a straight line lower this month, eroding any YTD gains it had. There's no sign that this weakness is changing.

Speculative growth has been a strong area of leadership since the election.

You can see how the flagship Innovation ETF $ARKK has transitioned from deep red to deep green, along with the other funds.

While we've seen ARKK sell-off following the FOMC, the longer-term picture is crystal clear.

This is an area of the market that has undergone a structural trend reversal, which is clearly bullish looking out into 2025.

I've noticed that the technology sector ETFs have turned from red (or light green) to a darker shade of green.

This makes sense with growth picking up steam while value has cooled off.

All technology sector ETFs look prime to break to new highs. While larger technology companies have outperformed, it's positive for the sector to see all three at their highest level they've been all year.

Large Cap Growth $IWF is green.

Large Cap Value $IWD is red.

This month, there has been a substantial divergence between a select few growth names and the rest of the market. Breadth has been lackluster.

Just look at the divergence between the two.

This doesn't mean the stock market has to crash, but I think this is a regular speed bump in an otherwise healthy bull market.