Scott's Investments'  Instablog

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Please see the right hand side of Scott's Investments for the September update to the US Sector ETFs. A summary of the data is listed below, including the percent each ETF is above the 200 day moving average.

Of note:

1. All of the US sector ETFs are above their 200 day moving average,
2. The top three based on 3-6-12 month returns are XLB, XLY,and XLF. XLB narrowly beat XLK, which was the only change from August's list.

Potential strategies an investor could employ would be the following:

1. Buy the top 3-6-12 or 6 month performers and hold for one month
2. Buy the top performers only if they are also above the 200 day moving avg
3. Buy any ETF which is above the 200 day moving average, sell if it drops below the 200 day average. Update once per month

For some additional background on the strategy please click here and/or check out Mebane Faber's The Ivy Portfolio: How to Invest Like the Top Endowments and Avoid Bear Markets. INO also offers some trading techniques via video and trend analysis via MarketClub

Ticker	Company	Performance (Quarter)	Performance (Half Year)	Performance (Year)	Sum	200-Day SMA	Price
XLB	Materials Select Sector SPDR	5.97%	66.16%	-23.70%	48.43%	23.41%	29.81
XLE	Energy Select Sector SPDR	-3.76%	34.94%	-30.52%	0.66%	8.82%	51.17
XLF	Financial Select Sector SPDR	21.49%	113.66%	-28.61%	106.54%	33.73%	14.7
XLI	Industrial Select Sector SPDR	6.88%	60.38%	-27.39%	39.87%	16.87%	25.02
XLK	Technology Select Sector SPDR	11.04%	48.08%	-10.86%	48.26%	21.26%	20.02
XLP	Consumer Staples Select Sector SPDR	4.99%	27.54%	-9.97%	22.56%	9.98%	24.82
XLU	Utilities Select Sector SPDR	8.30%	26.26%	-18.92%	15.64%	7.90%	29.23
XLV	Health Care Select Sector SPDR	9.95%	31.89%	-10.84%	31.00%	12.51%	28.62
XLY	Consumer Discret Select Sector SPDR	7.52%	57.78%	-13.09%	52.21%	21.47%	26.16