🏆 Today's Chart of the Day was shared by Donovan Jackson (@TheDonInvesting).
- The Solar ETF ($TAN) had its best day in nearly three months, rising +7% to a fresh 52-week high. Despite dismal performance in recent years, Solar is significantly outperforming this year, gaining +55% YTD.
- It’s on track for a seven-month winning streak, rising every single month since the April lows. The last major run lasted 10 consecutive months before peaking in early 2021.
- Donovan notes that $TAN is testing key levels on both an absolute and relative basis. $50 has been a notable inflection point since inception, while the relative trend ($TAN/$SPY) is reclaiming the lows from 2017 and 2018, marking a potential Failed Breakdown.
The Takeaway: Solar stocks have been dead money since 2021, but $TAN has notably outperformed this year while setting the stage for sustainable leadership.
