Yesterday’s winners continue with big moves today. The top gainer Fidelity funds were the Fidelity Select Electronics (FSELX, up +2.90%), the Fidelity Select Computers (FDCPX, up +2.34%) and the Fidelity Select Air Transportation (FSAIX, up +2.14%) funds.
Do these moves represent a bear market rally or a true change in the trend? We’d like to see these funds clearing the 100-day moving average before we can believe that a new bull market is about to start. FSELX has the best chance at this point to enter a bullish uptrending phase.
The weakest Fidelity sector fund was the Fidelity Select Gold (FSAGX, down -1.72%) fund today. It pulled back to the top of the previously held trading range, which can act as a support level. Moving below this support level, however, would not be bullish for gold stocks.
Mutual fund screens are provided by FidelitySignal.com
We’ve been tracking gold stocks for some time and the breakout happened today, following a 3.02% move in the gold bullion (GLD).