Just 32.2% of stocks in the S&P 500 are currently above their 50-day moving averages. Below is a look at breadth levels for the ten S&P 500 sectors. As shown, three sectors stand out as having very positive breadth, while the remaining seven sectors are weak relative to the index as a whole. Utilities -- the most defensive sector there is -- has a breadth reading of 83.3%. Consumer Staples -- another defensive -- has a reading of 65%. Behind Consumer Staples is Health Care with 64.2% of its stocks above their 50-days.
On the downside, Energy continues to get beaten down. Just 2% of S&P 500 Energy stocks are above their 50-days. Just 19.7% of Technology stocks remain above their 50-days, which isn't a good sign given that the sector makes up 20% of the market.
Below we have run the 30 largest stocks in the Energy sector through our trading range screen. As you can see, 29 of the 30 stocks are in oversold territory -- most of them deeply oversold. Kinder Morgan (KMI) is the only stock in the screen that is not oversold, but it is below its 50-day moving average.
Yesterday we noted that oil was about to enter bear market territory, and with it, Energy stocks continue to crater. When will the bleeding stop?