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I’m hearing rumblings that we’re seeing sector rotation out of the Nasdaq and tech stocks and into more traditional business found in the Dow Jones. The problem with this theory is that I’m not seeing many good looking set-ups except for the 3 below, GulfMark Offshore (NYSE:GLF), Electronics for Imaging (NASDAQ:EFII) and Intuitive Surgical (NASDAQ:ISRG). If it was a true sector rotation I’d be seeing more setups in the Dow and S&P.

The one sector that stood out to me on Friday was the Dow Jones Diversified Industrials (see below, click to enlarge), but it’s my guess that the majority of this move was caused by GE, as the charts of both are almost identical and GE isn’t one stock I’d be that excited to own.

Source: Lack of Setups Dismiss Sector Rotation Theory