Basic Materials - Sector (*****BM) is one of the many Dow Industry Groups that is currently showing Weakness and is on my Strong - Bearish "Warnings" List. For now it remains a Hold but its component Companies are telling many Bearish Stories. Here are a few quality and perhaps "Bellwether" component Companies for this Industry Group. ABX, VALE, AA, X, FCX, NEM.
In my Personal Blog, I -- Up-Date on a - monthly / weekly - rotating cycle - the Market, Economics and over 200 Companies and over 300 Sectors & Industry Groups. I publish almost daily and my Followers and Clients are now from over 47 Countries world-wide. My Personal Blog URL: http://investingwisely-rotation.blogspot.mx/?spref=tw
As for the General Market, I offer two very Unique Graphics with Narrative and Forecasts that historically have been extremely accurate. (please click on one and then the other: a) - Inflection Point Count and (b - Bull / Bear Ratio).
For the Record: I am currently Bearish on the General Market. I am in CASH and believe you should be moving in that direction. Yes, a Rally will first take place, but that is just part of the Bigger Picture and my Forecasting Work / Analytics.
I track over 300 Sectors and Industry Groups as offered by the below (sources). The accuracy of identifying Bullish and Bearish Inflection Points or Cycles is by far the best I have ever worked with. It is however very complex and time consuming.
As an old financial analyst / asset manager, I can easily determine WHEN a Sector or Industry Group is currently "Rotating" (or if you prefer the word "Cycling") into a "Favorable" condition for Buying -- or - - an "Un-Favorable condition for Selling or Shorting. You might check out my Article - "Rotation."
When you have a large universe of nearly all the conservative / quality Companies as well as the many Sectors and Industries on the planet, as I do, it is often remarkable to Investors when I say: "There are always many Excellent Companies that are both "Easy Calls" - and - 'Favorable' at or around a Bullish Inflection Point. The reciprocal or opposite is true for Bearish Inflection Points.
Basic Materials - Sector -- (*****BM)
This Sector / Industry Group has Fundamentally been on Hard times, quite awhile now, which is reflected in its current selling price. Basic Materials - Sector is currently "Un-Favorable" on my Lists. It was on a high of $336 way back in early 2011 and is currently selling for $271. It is Descending. So, where is it going (price wise) from here? Answer: DOWN. Feel free to let me know if you are interested in my Guidance and Direction on this or perhaps another Sector or Industry Group.
Opinion: HOLD. If you own a component Company in Basic Materials - Sector - be prepared to take Profits or Losses after the next Rally. (Cash in your money-market account may bother you because of the low interest, but remember, you are more "bothered" when you lose money due to poor judgment on your part or from poor or misleading advice!)
Forecast: My (most current) Focus suggests that the price is coming DOWN in the Short-Term (one - three months). It - (*****BM) is on an Strong - Bearish "Warning" and on my List to HOLD for now?
Note: Please seek weekly (or more frequent) Guidance from a seasoned professional (minimum - 30 years or more of asset-management experience!). Remember - MOST "professionals" will advise holding or even buying. Do they EVER recommend selling or offer a Bearish "Warning" such as the above? And, Holding-Cash is considered a SIN!
I am often asked what "sources" I use for my Analytics of Sectors, Industry Groups and Companies. Here are a few: StockCharts; Worden - Free Charts; BarCharts; FinViz; BigCharts; Morningstar and a number of others.
Want more detail? Please read my Bio here in SA and spend some time in the following URL about my Work / Profitability / Analytics and -- then, if you wish -- Send me an Email with your thoughts or questions. I will respond personally and promptly.
Thanks so very much for your time and following.
Smile, Have Fun "Investing Wisely,"