Utilities Power Up the 2024 Bull Market ⚡📈

Author

Zachly Trades
May 08, 2024

Welcome to another edition of Investment Intelligence, where we make sense (and cents) of the markets. 😎 Today, we're talking about utility stocks, the latest winners in the market rotation that's making the 2024 bull market stand out. 🌟🐂

The Great Utility Rotation: XLU Leads the Pack 📊

In just the past four weeks, the Utilities Select Sector SPDR Fund (XLU) has surged over 11%, claiming the top spot among all sectors in the S&P 500. 🥇📈 

XLU Top Performer Recently

XLU Weekly Chart

If XLU can hold above $69, we're eyeing a quick move to $71.50 in the short term. However, if we zoom in on individual utility stocks, there are some stellar setups in these three names:

NextEra Energy Inc. (NEE): Anchored to Success ⚓🏭

As long as NextEra remains above its anchored VWAP to the highs of December 2021, bulls are in control. We're watching for a move back toward $75. 🚀 

NEE Weekly Chart

The Southern Company (SO): Breaking Out of the Base 🏢🔥

With SO breaking out of a multi-year base above $77, our first pit stop is between $79.50 and $80.63, with a long-term target of $93. 🎯 

SO Weekly Chart

Duke Energy Corporation (DUK): Inverse Head and Shoulders 🏔️✅

Duke Energy is firing off an inverse head and shoulders on the weekly time frame, with its targets set between $103.62 and $106.50. 🚀 

DUK Weekly Chart

Wrapping Up 🎁

To wrap things up, utility stocks are lighting up portfolios in the 2024 bull market. 🌟 If your investments need a jolt of energy, these setups could be the spark that powers your returns. But here's the real question: Are you plugged into this rotation, or are you missing out on the electrifying opportunities in utilities?

Until next time, keep those investments charged up and your portfolios diversified! ⚡💼