Sunday Prep

It's Sunday, I'm prepping for tomorrow using the polished version of the method for the second time today. Recap: start with sector volume, identify strong holding within top sector, analyze price vs volume of holding.

Sector Rotation Observation

After running the analysis for sector observation, we see that XLF and XLK dominated on May 29, 2026. Based on the volume, we could infer that they will continue to dominate on June 1 (tomorrow). I say this because the buyers volume is greater than that of the sellers. I do see an underdog forming, and that is XLI. Similarly to what we observed last week on May 28, where volume between sellers vs buyers was 50/50, we see the same today for XLI. In the above, we see that it is 3.55M for buyers and 3.50M for sellers. I will say though, the trading volume is a bit low for my taste, but there is potential.

Sector Zoom In Holdings

I'll prep with three positions tomorrow one from XLI as the underdog, one from XLF, and one from XLK.

Let's start with XLI

As this is the underdog sector for me for tomorrow, I'm going to tread carefully, but as of right now, I'm considering $ETN – when looking at the chart below, we see that the resistance has been holding off for four days, knowing this, either outcome (uptrend or downtrend are possible.

I've taken this a little further and looked at the volume and divergence price, for a similar trend in the past. When looking below, although we know that there were more sellers, it's worth noting that the trading behavior and volume on May 12 is similar to that of May 29, if the pattern holds, then we can expect the price to rise tomorrow.

Moving on to XLF

While JPM doesn't convince 1000% , it is the only one I'd consider tomorrow. In the below chart, we are able to determine that JPM has remained somewhat flat for the last 3 trading days, which may mean a breakout is coming.

In addition to the above, when analyzing the volume, we see there were more buyers on May 29:

Of course, things could change if we see a reversal take place. In the above, we see that the buyers trading volume is 3:1 against sellers.

Lastly, let's move to XLK

Micron Technology has been on a massive run over the last 4 days, and the overnight price is already at +$33 – this can be a trap or a massive wave. Let's look at the analysis below

The buyers stepped in on Friday, which is partially why the price has gone up. Tomorrow we can expect another rally, but we'll see if it holds past 10AM – XLK will be the most challenging to monitor tomorrow. MU, MSFT, and NVDA seem to be great prospects with the trading volume observed.

As summary, I'm watching XLF, XLK, and XLI where I've zoomed in for ETN for XLI, JPM for XLF and MU, MSFT, NVDA for XLF while leaning MU & MSFT more.

I'm honestly expecting a green day across the market tomorrow for the most part, with these three sectors dominating. Let's see what tomorrow holds. To another great week!