“These Stocks Fell Out of Favor. Now They’re Turning Higher”
$XLREBearish
XLRE faces headwinds from rising rates due to borrowing needs; technicals show a downtrend below the 200-day SMA.
Also, for XLRE stock, when looking at the utilities, REITs and some other high-yield sectors in an increasing interest rate environment, they will not be as attractive as they once were, especially REITs, because they need to borrow money to expand.
As you can see, the group is below the 200-day simple moving average, which clearly indicates a downward trend.