r/valueinvesting
I mapped market leadership by sector and industry
Mapped market leadership, finding semiconductors and AI tech leading strongly, advocating a top-down stock picking strategy.
- Semiconductors and AI-related electronics are showing strong momentum and leading the market.
- Top-down analysis effectively narrows down choices to the best stocks in the hottest industries.
- Market breadth is poor, with many sectors like energy, utilities, and real estate lagging or drifting.
I mapped the market by sector/industry strength across multiple timeframes, and the main takeaway is pretty clear:
Semiconductors are still leading hard, with tech hardware and communication equipment also showing strong momentum.
A lot of the best strength is concentrated in AI/semis/electronics-related groups rather than being evenly spread across the whole market.
At the same time, some areas are clearly lagging or more mixed, especially parts of energy, utilities, real estate, and consumer staples depending on the timeframe.
The interesting part is how quickly leadership narrows when you zoom from:
market → sector → industry → individual stocks
A few industries are carrying a huge part of the move, while many others are just drifting it seems. This is why I like looking at the market top-down first. Instead of asking what stock should I buy, I want to be aware of the hottest industries so I can ultimately:
pick the best stocks -> in the best industry -> in the best sectors
What is the source of data?
It's too difficult for me to figure out.
Dear OP,
You are in the wrong subreddit.
This is the value investing forum
and NOT a mono subreddit.
—-
All your charts are headlined “MOMENTUM”
Come on, learn to distinguish the right forum.
I'm just sharing some of my findings. You'll often find value stocks become momentum leaders at some point in time.
Whatever man.
You are still in the wrong Subreddit.
Sorry, an aspiring investor here. What data and tools and methods did you use to construct this?