The consumer staples sector is an important indicator of a nation’s economic health, making up nearly 70% of the gross national product. Companies in this sector focus on selling essential products like food, beverages, and household items. These products are considered non-cyclical due to their consistent demand.
One popular exchange-traded fund for investing in the consumer staples sector is the Consumer Staples Select Sector SPDR Fund. This fund has shown a positive trend, with the price moving above the 200-day moving average and the 50-day moving average crossing above the 200-day moving average. This indicates a long-term uptrend, leading traders to maintain a bullish outlook for the remainder of 2018.
Procter & Gamble is a leading consumer staples company with a strong track record of success. The recent price movement has also shown a bullish trend, with the 50-day moving average crossing over the 200-day moving average. Active traders may consider adding positions near current levels to take advantage of potential gains.
Coca-Cola is another well-known consumer staples company that has shown a similar bullish trend in its price movement. The recent pullback found support near the 200-day moving average, leading to a bounce higher. The momentum suggests that the price may reach the 2018 high.
Overall, companies in the consumer staples sector may be overlooked by some investors due to their non-cyclical nature. However, the bullish chart patterns discussed in this article suggest that now could be a good time to consider investing in consumer staples.