So, I was checking on this the other day using XLK and XLF. If you look prior to 2000, XLK goes up by a lot and XLF goes up by a little. After 2000 (dotcom bust), XLK takes a nose dive and for 6 or 7 years doesn't budge almost all and instead XLF goes through the roof. 2007 happens and XLF has a steep nose dive and XLK begins gaining huge amounts. We're now at a major overbought portion of XLK (28.6 according to etf.com). It would seem to me that this would be where it will hurt the most...soon.
Does that mean that XLF will see a major return again after the next crisis or could we hit a flash crash and be done with it? If so, will people return to places other than XLF? Note that I'm not referring to the specific ETFs but more to the industries they represent.
Maybe I just made it up.
Best,
Me
Just a little something I noticed
Moderator: Aitrus
Re: Just a little something I noticed
XLK = Technology Select Sector SPDR Fund
XLF = Financial Select Sector SPDR Fund
2000 was a Dot.com crash so the technology sector took a hit.
2007 was a financial crisis so the finance stocks got busted.
Now Finance is being deregulated, so they will return to their risky behavior. Risk = reward, so some of us will make money if you know where to place your bets.
Technology has had a good run. Can it continue? Are we getting tired of all this online activity? Do we trust our fortunes to a username and a password? Will cyber coins really generate pennies from heaven?
XLF = Financial Select Sector SPDR Fund
2000 was a Dot.com crash so the technology sector took a hit.
2007 was a financial crisis so the finance stocks got busted.
Now Finance is being deregulated, so they will return to their risky behavior. Risk = reward, so some of us will make money if you know where to place your bets.
Technology has had a good run. Can it continue? Are we getting tired of all this online activity? Do we trust our fortunes to a username and a password? Will cyber coins really generate pennies from heaven?
Re: Just a little something I noticed
Cswift, Not related but thought of you when I saw this https://www.cnbc.com/2018/03/25/trade-w ... forum.html
Fund Prices2024-03-27
Fund | Price | Day | YTD |
G | $18.14 | 0.01% | 1.00% |
F | $19.09 | 0.26% | -0.68% |
C | $82.11 | 0.87% | 10.42% |
S | $82.19 | 1.48% | 6.61% |
I | $42.68 | 0.56% | 6.21% |
L2065 | $16.38 | 0.84% | 8.36% |
L2060 | $16.38 | 0.84% | 8.36% |
L2055 | $16.39 | 0.84% | 8.36% |
L2050 | $32.73 | 0.71% | 6.94% |
L2045 | $14.91 | 0.67% | 6.56% |
L2040 | $54.37 | 0.63% | 6.20% |
L2035 | $14.34 | 0.58% | 5.77% |
L2030 | $47.66 | 0.53% | 5.35% |
L2025 | $13.14 | 0.31% | 3.40% |
Linc | $25.60 | 0.24% | 2.79% |