The market has seen significant rotation since the High Growth Stock Relative Strength low at the end of April 2016. The Building/Mobile Manufacturing/RV industry group has been the strongest but other groups like Internet-E-Commerce and Internet-Content also started picking up steam since the end of July. The beginning of August saw the two Semiconductor industry groups gain a following, and most recently, Medical – Generic Drugs, Computer – Networks, Internet – Network Security Solution, and Electronic -Products Misc. have reversed their fortunes.

On the down side, last week Building- Res/Commercial dove for the mat while Medical – OutPait/Home Care, Internet – Tel/ISP/Cab/Sat, and Medical – HMO/Managed Care have all been week since the relative strength bottom or longer.

I do not think the Fed will raise rates this week, but whatever their action, there is bound to be more rotation once the annoucement is made.