Put Down the IPA and Check Out the ITA

ITA, the ETF for aerospace and defense stocks, is flexing nicely today, which aligns with recent rotations into the most things related to industrials. Clearly, there is overlap between the XLI (ETF for industrials) and ITA. The obvious names, of course, are BA and LMT. 

But we always like to be rigorous and ferret out under-watched names for Members to stalk. And, of course, our astute Members contribute with ideas like HEI and ROLL, both vastly underrated in the industrial/aerospace segments. 

On the ITA daily chart, below, we can see the group leaving a multi-quarter consolidation behind. As long as the $207.50 breakout holds, we should continue to put in the work to identify actionable rotation candidates in both the ITA and XLI ETFs, regardless of what Micron and Wynn are doing.