Sector rotation · Week 27, 2026
Sector rotation map, week of Jun 29 – Jul 2, 2026
The 12 sector funds against SPY at the close
At the Thursday, Jul 2, 2026 close, 4 of the 12 sectors sat in Leading, and Health Care (XLV) had the strongest relative strength against the S&P 500, an RS-Ratio of 102.07.
In the week to Jul 2, 2026, Real Estate (XLRE) moved furthest on the map, 1.23 points, from Leading into Improving, and 3 sectors changed quadrant in all.
No sector was in Lagging at the Jul 2, 2026 close; Energy (XLE) had the weakest relative strength, an RS-Ratio of 98.20 in Improving.
Where the 12 sit
This week's crossings
- XLP Consumer StaplesLeading→Improving
- XLRE Real EstateLeading→Improving
- XLU UtilitiesLeading→Improving
The week in numbers
At the Jul 2, 2026 close, 5 of the 12 sectors had an RS-Ratio above 100, relative strength above their own 60-session norm against the S&P 500, down from 8 a week earlier, and 11 had RS-Momentum above 100.
The 3 strongest by RS-Ratio at the Jul 2, 2026 close: Health Care (XLV) at 102.07, Financials (XLF) at 101.40 and Industrials (XLI) at 101.09.
The 3 weakest at the Jul 2, 2026 close: Energy (XLE) at 98.20, Communication Services (XLC) at 98.81 and Consumer Discretionary (XLY) at 99.23.
In the week to Jul 2, 2026, Communication Services (XLC) gained the most momentum, RS-Momentum up 0.95 to 101.12, while Industrials (XLI) lost the most, down 0.91 to 100.60.
The longest run in one quadrant at the Jul 2, 2026 close belongs to Technology (XLK): Weakening for 5 or more weeks running.
All 12 sectors at the close
| Sector | Quadrant | RS-Ratio | RS-Momentum | Week's move |
|---|---|---|---|---|
| XLVHealth Care | Leading2 wks | 102.07 | 101.79 | 0.55 |
| XLFFinancials | Leading2 wks | 101.40 | 100.88 | 0.67 |
| XLIIndustrials | Leading3 wks | 101.09 | 100.60 | 0.92 |
| XRTRetail | Leading2 wks | 100.48 | 100.74 | 0.63 |
| XLKTechnology | Weakening5+ wks | 100.35 | 99.11 | 0.62 |
| XLPConsumer Staples | Improving1 wk | 99.83 | 100.66 | 0.37 |
| XLUUtilities | Improving1 wk | 99.80 | 100.89 | 0.78 |
| XLBMaterials | Improving5+ wks | 99.77 | 100.43 | 0.42 |
| XLREReal Estate | Improving1 wk | 99.65 | 100.72 | 1.23 |
| XLYConsumer Discretionary | Improving4 wks | 99.23 | 100.69 | 0.43 |
| XLCCommunication Services | Improving5+ wks | 98.81 | 101.12 | 1.02 |
| XLEEnergy | Improving2 wks | 98.20 | 100.01 | 0.59 |
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Each dot is a sector fund measured against SPY at the week's last close, by the readings the MomoEdge Pulse dashboard uses. The map updates at 8:00 AM ET every Saturday with the week's closes. Educational content, not financial advice.