🚀 Riding the Wave: EQRR ETF's Stellar Breakout and What It Means for Your Portfolio! 🌟💸

The Big Breakout: EQRR ETF 🌊📊

For those of you who might have missed our previous chat (don't worry, I've got you covered with a handy link to the video), the EQRR ETF - Equities for Rising Rates ETF - has been the talk of the town. Why? Because it's not just talking the talk; it's walking the walk by hitting new highs. This breakout is more than just numbers on a screen; it’s a signal, a beacon for aware investors like you and me.

Top Sectors in the Spotlight: Financials, Materials, and Energy 🔝💼

Let's break it down: the EQRR is heavily leaning on three sectors – Financials, Materials, and Energy. These aren't just any sectors; they're the pillars holding up the current investment landscape. And guess what? I've got the charts to prove it.

Financials (XLF) and Materials (XLB) are playing a game of catch-up, retesting their previous highs and forming what we in the biz call “The Kardashian Bottom”, which is large rounded bottom reversal pattern. These sectors have been going vertical over the past months and are setting up to breakout in 2024.

Energy (XLE), on the other hand, isn't waiting around. It’s already broken out, leading the charge and showing what sector strength really looks like.

Tech Stocks and Rising Rates: A Cautionary Tale ⚠️💻

A word of caution for the tech enthusiasts: rising rates can be a bit of a party pooper for tech stocks. Remember the 2022 bear market? Exactly. It's important to keep an eye on EQRR as it might just be the crystal ball that predicts future increases in rates. Perhaps the market has already been sniffing it out and that is why we are seeing tech underperforming relative to the market here lately, as shown in the chart below.

Charting the Course: US 10 Year Treasury Yield 📉➡️📈

Speaking of predictions, have you seen the chart of the US 10 Year Treasury Yield? It's not just any chart; it’s broken out from a multi-decade downtrend. This, my friends, is what we call a game-changer. Maybe the phrase “higher for longer” is more than just talk, and something we all need to think about a lot more.

The EQRR ETF: Your Portfolio's New Best Friend? 🛡️🤝

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