Defensive groups showing near-term outperformance

The near-term rally in global equities remains intact, and despite outperformance in much of Europe and Asia, SPX has been able to push higher and is on course for an early December test of 4110-20.  Sector performance has reflected a strong defensive push since 11/15, while Technology has struggled to keep up lately, despite yields having not turned up aggressively.  The NASDAQ has shown some negative divergence lately in remaining under early November highs, while the DJIA, as of 11/25, has pushed up to the highest levels since April.  SPX hourly charts, as shown below, likely push up without much problem to test 4100 area next week.  Any minor weakness should have firm support near 3980, and pullbacks should be used to buy in the short run.

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