📈 Political Moves

The new administration is impacting these sectors.

Sectors Impacted by Trump Administration

Over the past few days as the Trump Administration has announced its cabinet members, we are starting to get a better sense of what the administration is going to do once they’re in office.

As a result, we’re seeing specific sectors move erratically as a result of the new reality they will soon be living in.

Let’s dive in.

XLV Healthcare Names

Yesterday we saw a massive sell-off in XLV names when RFK Jr. was appointed Secretary of HHS.

He has been very outspoken on his anti-vaccine mandate stance, and as a result the entire sector sold off significantly.

Do we know exactly what he has planned? No. But neither do the investment banks.

Therefore, they are staying out of the way and reducing their positions.

I would watch these names today for continued weakness.

Energy Rising

We’re also seeing XLE - the energy index - rise on the prospects of the incoming Trump administration.

“Drill baby drill” was a major policy platform that Trump ran on, and this will be beneficial to the XLE.

As a result, we’ve seen strong buying in this index and it looks like it is primed to continue moving.

This is another sector I would keep on watch.

Marijuana Names Drawing Attention

We recently heard news that the Trump Administration will likely be in favor of rescheduling marijuana and potentially legalizing it.

We are starting to see some interest in these names as a result.

This one hasn’t fully developed yet as there is still a decent amount of uncertainty around how the administration will handle marijuana, but it is another one to keep on your watchlist.

If we break the high of the gap down, a gap fill is possible.

For more analysis of the market and what I am trading to end the week and next week, watch this video: