The S&P closed flat for May, rising slightly from 4190 at April end to 4200 at May close.
For the ETFs in our Retirement Strategy, those that remain LONG:
- MUB – Municipal Bonds
- XLV – Healthcare
- XLK – Technology. It did drop briefly below its long term moving average intramonth, but then recovered.
- XLU – Utilities
- FDL – Dividend Leaders
- VNQ – Real Estate
- XLY – Consumer Discretionary. It did drop briefly below its long term moving average intramonth, but then recovered.
ETFs transactions for end of May:
- GLD – Gold – BUY. The ETF has risen past its long term moving average. Likely rising on inflation fears.
- XLP – Consumer Staples – remains SELL – we avoid consumer staples in an accumulating market, as there are better options available.
- VCLT – Long Term Bonds – remains SELL – avoiding in this rising interest rate environment
- EMB – Emerging Market Bonds – remains SELL – it is rising toward its long term moving average, but still not a BUY at the moment
In summary, one transaction at this month end (buy GLD). Three ETFs to keep an eye on (XLK, XLY, EMB). We have a 6-2 weighted regime for accumulation, Phase 2. Stay as fully invested in market correlated equities as makes sense in your allocation strategy.