Seasonal sectors that demand attention now
Key points:
- Seasonal trends should not be thought of as "buy" or "sell" signals
- Seasonal trends should be thought of as "clues" that tell us "When to look where" for potential opportunities
- With that understanding in mind, traders might consider looking more closely at the Healthcare, Technology, and Industrials sectors for signs of typical 4th quarter strength
Healthcare remains, um, healthy
The Healthcare sector has been a market leader since bouncing off a late-April low. Price action is positive, insiders are more bullish on this sector than any other, and historically healthcare has performed extremely well late in the calendar year.
The chart below highlights the period from Trading Day of the Year (TDY) #206 through TDY #240. For 2026, this period extends from October 27th through December 15th.

The chart below displays the hypothetical growth of $1 achieved by holding a long position in ticker XLV only during this period every year since 1999. A hypothetical $1 has grown to $2.82.
