Microsoft Corp. (MSFT) has experienced a significant relative strength decline, now sinking to its lowest position within the SIA S&P 100 Index since January 2023. As its share price falters, the focus shifts to its relative underperformance, raising concerns for SIA practitioners who rely on comparative analysis to aid in portfolio outperformance. This decline may signal a critical turning point for MSFT, requiring close attention to key technical levels and market signals.
NVDA, the big winner in 2024, has struggled at the start of 2025, with both its shares and sector turning negative on SIA relative strength rankings. The attached charts reveal a pullback in strength, with the point and figure chart indicating potential support at current levels but showing resistance near $125.59, and a broader support zone between $103.02 and $97.08. Sellers appear to be gaining control, as recent sell-offs have been followed by limited recoveries.
Shares of Broadcom Inc. (AVGO) have fluctuated in and out of the favored zone within the SIA NASDAQ 100 Index Report over the past quarter. Point and Figure technical analysis indicates that supply is in control, with potential initial support levels at $184.48 and $188.97 with more at the $157.45 and $134.39, while resistance is tight at $216.15 and $220. The weekly candlestick chart shows a loss of upward momentum at the $240 level, with support breaking at $210.
Applovin Corp. (APP) was one of the top-performing stocks of 2024, but in early 2025, shares have come under significant selling pressure. After rising from $16 in mid-2023 to over $500, the stock has now pulled back to just above $300. In lieu of its high Price/Earnings ratio of over 100X, APP might be on shaky ground. This report highlights key technical indicators, including relative strength, resistance levels, and price movements, which might suggest further downside.
The SIA platform has highlighted a shift in sentiment toward Chinese equities, with notable performers like the Invesco China Technology ETF (CQQQ) rising to the top of SIA reports. While CQQQ approaches key resistance levels, it continues to show strength relative to other asset classes, backed by a high SIA SMAX score.
Pilgrim’s Pride (PPC) has shown strong performance, recently breaking past 15-year resistance levels and reaching $54 per share. After facing financial troubles in 2008-2009, the company appears to be back on track, with improving relative strength and significant gains in 2024 and early 2025. The SIA U.S. Consumer Staples Sector Index highlights PPC’s standout position, with strong support levels and potential for further growth. This report takes a closer look at the company’s performance and technical outlook.
Today, we turn our attention to the utilities sector, which has gained momentum recently, moving up five spots in the past week. Emera Inc. (EMA.TO) stands out with an 8.17% gain over the past month and 12.61% over the past quarter, outperforming the iShares S&P/TSX 60 Index ETF (XIU.TO), which posted returns of -0.03% and 0.24% over the same periods.
The automotive sector has demonstrated notable strength, with a +13 position rise in the latest SIA market sector report and a quarterly performance of +18.83%, outperforming the S&P 500 Index by 5.55 times. Phinia Inc. (PHIN) ranks #5 in the SIA Automotive Sector report, reflecting strong relative performance within the sector. Technically, PHIN shares show solid SIA positioning, with support and resistance levels identified. The stock also carries an SMAX score of 8/10, indicating relative strength compared to other asset classes, while undergoing a price discovery battle on the point-and-figure chart.
In our October 17th, 2024 report, we flagged ELF Beauty’s stock after the SIA system detected a decline in relative strength, triggering a relative strength warning signal at $180. By October 2024, the stock dropped over 40%, breaching key support levels and facing strong resistance at both $121 and $134. Fast forward to today, and shares have slipped another -41.08%, approaching new support at $68.56. Despite this, ELF’s SMAX score remains at 0, indicating continued underperformance against other asset classes and highlighting the risks for shareholders.
Bank stocks have shown strong performance, especially in the latter half of 2024 and early 2025, driven by lower interest rates globally. However, despite this sector-wide strength, Bank of Nova Scotia (BNS.TO) has underperformed compared to its peers. This analysis reviews the technical indicators and relative performance of BNS.TO, highlighting support levels and the stock’s position within the broader market trends.
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