Health Care ended a five-day losing streak on Wednesday with a 1.34% rally. The streak tied the five days ending June 18 for the sector’s longest of 2026. It was also the seventh five-day slide since Health Care last declined for longer, when it fell for seven straight sessions ending July 3, 2024. Over the last five years, only four losing streaks have extended beyond five days, with the longest lasting 10 trading days through 1/26/22.
Despite falling for five straight days from its July 28 all-time high, Health Care never broke below its 50-DMA, and yesterday’s rebound pushed the sector right back into overbought territory. Health Care has traded above its 50-DMA every day since June 3, spending 20 trading days overbought and another 15 extremely overbought, or more than two standard deviations above its 50-DMA. That works out to more than 80% of trading days overbought or extremely overbought over that span. In other words, one of the sector’s longest losing streaks of the year amounted to only a modest reset following an extended run higher.
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