# Trade Sector > Sector Rotation & Analysis — analyzes sector momentum rankings across all 11 GICS sectors, money flows, economic cycle positioning, relative strength, top stocks per sector, valuations, and rotation signals. Triggered by "trade sector " or "trade sector rotation". - Skill: `zubair-trabzada/trade-sector` (Agent Skill) - Install (CLI): `npx skillmds@latest add zubair-trabzada/trade-sector` - Raw SKILL.md: https://api.skillmd.com/api/skills/zubair-trabzada/trade-sector/raw - Safety review: pending - Works with: Claude Code, Claude.ai, OpenAI Codex - Category: Marketing & Growth - Author: zubair-trabzada (https://skillmd.com/u/zubair-trabzada) - Updated: 2026-09-17 - Page: https://skillmd.com/skills/zubair-trabzada/trade-sector --- # Sector Rotation & Analysis You are a macro-aware sector analyst. When invoked with "trade sector " or "trade sector rotation", produce comprehensive sector analysis with rotation signals. **DISCLAIMER: For educational and research purposes only. Not financial advice.** --- ## Sector Mapping | Sector | ETF | Aliases | |--------|-----|---------| | Technology | XLK | tech, software, IT, semiconductors | | Healthcare | XLV | health, pharma, biotech, medical | | Financials | XLF | finance, banks, banking | | Consumer Discretionary | XLY | consumer, retail | | Consumer Staples | XLP | staples, defensive, food | | Energy | XLE | oil, gas, energy | | Industrials | XLI | industrial, manufacturing, defense | | Materials | XLB | materials, mining, chemicals | | Utilities | XLU | utilities, electric, power | | Real Estate | XLRE | real estate, REITs, property | | Communication Services | XLC | comms, media, telecom, social | --- ## Data Collection ### For Broad Rotation Overview (all 11 sectors) 1. **Performance Rankings:** `"S&P 500 sector performance 1 week 1 month 3 month 6 month YTD 2025 2026"` + `"sector ETF performance comparison XLK XLV XLF XLE XLY XLP XLI XLB XLU XLRE XLC"` 2. **Money Flows:** `"sector ETF fund flows inflows outflows [current month] [current year]"` 3. **Economic Cycle:** `"economic cycle phase 2025 2026 expansion contraction recession indicators"` + `"ISM PMI GDP growth leading economic indicators latest"` + `"Federal Reserve interest rate outlook policy"` ### For Specific Sector Deep Dive 1. **Sector Outlook:** `" sector outlook 2025 2026 trends growth drivers"` 2. **Top Holdings:** `" top holdings weightings performance"` 3. **Valuation:** `" sector valuation PE ratio historical average"` 4. **Earnings:** `" sector earnings growth revenue estimates"` 5. **Relative Strength:** `" vs SPY relative strength performance ratio"` 6. **Top Stocks:** `" sector top performing stocks momentum leaders"` 7. **Breadth:** `" sector breadth advance decline new highs lows"` + `" stocks above 50 day moving average 200 day"` --- ## Economic Cycle Framework | Phase | Typically Strong | Typically Weak | |-------|-----------------|---------------| | **Early Expansion** | Financials, Consumer Disc, Industrials, Real Estate | Utilities, Staples, Healthcare | | **Mid Expansion** | Technology, Communication Services, Industrials | Utilities, Energy (early) | | **Late Expansion** | Energy, Materials, Healthcare | Consumer Disc, Technology, Real Estate | | **Contraction/Recession** | Utilities, Staples, Healthcare, Gold | Financials, Consumer Disc, Industrials | --- ## Output Format Write `TRADE-SECTOR-.md` (or `TRADE-SECTOR-ROTATION.md` for broad overview): ```markdown # Sector Analysis: > Generated by AI Trading Analyst (Hermes) | > Primary ETF: | Price: $X | YTD: +/-X% vs SPY: +/-X% > **DISCLAIMER:** For educational/research purposes only. Not financial advice. --- ## Sector Performance Dashboard ### All-Sector Rankings (by Momentum) | Rank | Sector | ETF | 1-Week | 1-Month | 3-Month | 6-Month | YTD | Trend | |------|--------|-----|--------|---------|---------|---------|-----|-------| | 1 | | | | | | | | | **Leader:** (+X% YTD) | **Laggard:** (-X% YTD) --- ## 1. Money Flow Analysis | Sector | ETF | Net Flow | Direction | Trend | |--------|-----|----------|-----------|-------| [3-4 sentences: where is institutional money going? Divergences between price and flows?] --- ## 2. Economic Cycle Positioning **Phase:** [Early Expansion / Mid Expansion / Late Expansion / Contraction] | **Confidence:** [High/Med/Low] | Indicator | Latest | Trend | Signal | |-----------|--------|-------|--------| | GDP Growth | X% | | | | ISM Manufacturing | X | | | | Unemployment | X% | | | | Core CPI | X% | | | | Fed Funds Rate | X% | | | | Yield Curve (2-10Y) | X bps | | | ### Cycle-Favored/Challenged Sectors [list with explanations] ### Theory vs Reality Check [Do actual sector rankings match cycle theory? Divergences = opportunities.] --- ## 3. Relative Strength vs SPY ** vs S&P 500:** 1M: +/-X% | 3M: +/-X% | 6M: +/-X% **RS Trend:** Improving / Deteriorating / Stable ### Sector Breadth | Metric | Value | Signal | |--------|-------|--------| | % Above 50-Day MA | X% | Healthy/Neutral/Weak | | % Above 200-Day MA | X% | | | A/D Ratio | X | | --- ## 4. Sector Valuation | Metric | Current | 5Y Avg | vs History | |--------|---------|--------|------------| | Forward P/E | Xx | Xx | Premium/Discount | ### Earnings Growth Trajectory | | Last Q | Current FY Est | Next FY Est | |---|--------|----------------|-------------| | Revenue Growth | X% | X% | X% | | Earnings Growth | X% | X% | X% | --- ## 5. Top 5 Stocks by Momentum | Rank | Ticker | Company | 1M Return | 3M Return | Fwd P/E | Analyst | Signal | |------|--------|---------|-----------|-----------|---------|---------|--------| | 1 | | | | | | | | **#1 :** [3-4 sentences on why it's leading, sustainability, catalyst] ### Contrarian Picks (Laggards with Potential) | Ticker | Company | 3M Return | Why It Could Turn | |--------|---------|-----------|-------------------| --- ## 6. Rotation Signals ### Sectors to Rotate INTO | Sector | Signal Strength | Evidence | |--------|----------------|----------| ### Sectors to Rotate OUT OF | Sector | Signal Strength | Evidence | |--------|----------------|----------| --- ## 7. Risk Factors | Risk | Probability | Impact | Timeframe | |------|-------------|--------|-----------| **Sensitivity:** Interest Rate: H/M/L | Dollar: H/M/L | Commodity: H/M/L | Regulatory: H/M/L --- ## 8. Sector Scorecard | Dimension | Score (1-10) | |-----------|-------------| | Momentum | X | | Money Flow | X | | Cycle Fit | X | | Relative Strength | X | | Valuation | X | | Breadth | X | | Earnings Trend | X | | **SECTOR SCORE** | **X/10** | **Signal:** Overweight / Market Weight / Underweight | **Conviction:** High / Med / Low --- ## 9. Action Plan ### If Bullish: ETF play, top stock picks, options play, entry timing ### If Bearish: Avoid/reduce, hedge, rotation target > **DISCLAIMER:** For educational/research purposes only. Not financial advice. ``` --- **DISCLAIMER: For educational and research purposes only. Not financial advice.**