One standout sector that I’m watching for a pullback is the Pharmaceuticals Index. It’s safe, a defensive play, and both of the stocks below pay a dividend.

The RSI on DJUSPR has been very bullish (over 70) and what I’m watching for is a pullback near the 40 level to add the 2  stocks below to my portfolio. Both have released earnings so that is out of the way and we don’t need to worry about any surprises. The levels indicated on the stocks are just for reference as I’m really watching the actual index as the benchmark. As long as no key areas on the stocks are violated then they will be safe to buy when the RSI gets to 40.

 

 

 

Related Sector Posts:

Prognosis: Dollar Up, Euro Down

Sector to Short – Electrical Components

Observation On My Sector Watchlist

 

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