Anyone following the market knows healthcare has been getting smacked lately. A look at it’s relative strength says it all. A topping pattern has broken through vital support, fallen below the rising 200 moving average, and hit oversold on momentum. Not one is positive for the sector in my books.
There are a few healthcare stocks that are holding up though. While I would not put any money here any time soon, if these stocks below can keep their relative strength, when the time comes to allocate to healthcare again these will be the leaders.
Check out the charts below:
Happy Halloween. Stay out of healthcare or you’ll find some rotten candy.