Key Momentum Shifts

  • Consumer Staples Remains Leading: Consumer Staples (XSJ) continues to occupy the Leading quadrant, maintaining the strongest relative position among ASX sectors.
  • Financials Strengthens in Improving: Financials (XFJ) remains in Improving and is positioned closest to the Leading quadrant, supported by a 0.43% daily gain.
  • Real Estate and Consumer Discretionary Remain Improving: Real Estate (XPJ) and Consumer Discretionary (XDJ) continue to occupy Improving, although their momentum remains relatively close to the centre of the RRG.
  • Industrials and Communication Services Remain Improving: Industrials (XNJ) and Communication Services (XTJ) remain in Improving, indicating relatively better momentum than the sectors positioned in Weakening.
  • Resource Sectors Remain Weakening: Energy (XEJ), Resources (XJR) and Materials (XMJ) remain in Weakening, with Resources and Materials positioned well below the horizontal midpoint.
  • Utilities Remains Weakening: Utilities (XUJ) remains in Weakening despite gaining 0.33% on 14 September, highlighting the difference between short-term price performance and broader relative momentum.
  • Health Care Remains Deeply Weakening: Health Care (XHJ) remains positioned well within Weakening, despite recording the strongest daily gain of 1.52%.
  • Technology Remains Lagging: Information Technology (XIJ) remains the only sector in Lagging, with a 1.14% decline reinforcing its weak relative momentum.

The latest Relative Rotation Graph for 14 September 2026 shows continued divergence between the stronger and weaker ASX sectors. Consumer Staples (XSJ) remains in Leading, while Financials (XFJ), Real Estate (XPJ), Consumer Discretionary (XDJ), Industrials (XNJ) and Communication Services (XTJ) are positioned in Improving. Energy (XEJ), Utilities (XUJ), Resources (XJR), Materials (XMJ) and Health Care (XHJ) remain in Weakening, while Information Technology (XIJ) is the only sector in Lagging. The daily performance data provides a mixed picture, with Health Care gaining 1.52% while Information Technology declined 1.14%.

Momentum Breakdown by Quadrant

ASX Sector Relative Momentum Chart (at the closing price of 14/09/2026). Powered by: amibroker.com.

Leading Quadrant

Consumer Staples (XSJ) remains the only sector positioned in the Leading quadrant, giving it the strongest combination of relative strength and momentum on the latest RRG.

XSJ gained 0.61% on 14 September, recording the second-strongest daily performance among the twelve sectors. Its position in the upper-right area of the RRG continues to reinforce its Leadership relative to the broader ASX sector group.

The recent trajectory, however, shows some movement lower from its previous position. Continued movement upward and to the right would provide stronger confirmation that Consumer Staples is maintaining its leadership.

Improving Quadrant

Financials (XFJ), Real Estate (XPJ), Consumer Discretionary (XDJ), Industrials (XNJ) and Communication Services (XTJ) are positioned in Improving.

Financials is the most notable sector within this quadrant. XFJ gained 0.43% on 14 September and is positioned closest to the Leading quadrant. Its upward trajectory indicates that relative momentum continues to strengthen, making Financials one of the most important sectors to monitor for a potential transition into Leading.

Real Estate and Consumer Discretionary also remain in Improving. XPJ was unchanged at 0.00%, while XDJ gained 0.03%. Their positions indicate that broader relative momentum remains stronger than that of sectors located in Weakening, although their limited daily price movements suggest that momentum has yet to translate into significant short-term gains.

Industrials declined 0.35% but remains in Improving. This highlights the distinction between short-term price performance and the broader relative momentum cycle represented by the RRG.

Communication Services gained only 0.06% and remains relatively close to the centre of the chart. Its position in Improving suggests that its relative momentum continues to recover, although further movement upward would be needed to strengthen the signal.

Weakening Quadrant

Energy (XEJ), Utilities (XUJ), Resources (XJR), Materials (XMJ) and Health Care (XHJ) remain in Weakening.

Health Care is particularly notable because XHJ gained 1.52% on 14 September, recording the strongest daily performance among all twelve sectors. Despite this strong short-term gain, its position deep within Weakening indicates that its broader relative momentum remains under pressure.

This divergence demonstrates why the RRG should be considered alongside daily performance rather than interpreted solely from one trading session. A strong daily gain does not necessarily indicate an immediate improvement in the sector's longer-term relative momentum.

Resources and Materials also remain weak. XJR declined 0.39%, while XMJ fell 0.55%. Both sectors are positioned well within Weakening, suggesting that their relative momentum remains significantly below that of the Leading and Improving groups.

Energy gained 0.38% but remains in Weakening. Its position closer to the centre of the chart suggests that its relative momentum is less negative than that of some other sectors in this quadrant. A sustained move toward the centre and subsequently into Improving would provide a more constructive signal.

Utilities gained 0.33% but remains in Weakening. Its position demonstrates again that positive daily performance does not necessarily correspond with an immediate improvement in relative momentum.

Lagging Quadrant

Information Technology (XIJ) remains the only sector positioned in Lagging, reflecting weak relative strength and subdued momentum.

XIJ declined 1.14% on 14 September, recording the weakest daily performance among the twelve sectors. The combination of negative price performance and its position in Lagging makes Information Technology one of the clearest areas of weakness in the current sector momentum structure.

The RRG trajectory suggests that the sector would need to move back toward the centre of the chart before a meaningful recovery could be confirmed. A sustained movement into Improving would provide stronger evidence that Technology's relative momentum is beginning to recover.

Bottom Line

The 14 September 2026 ASX RRG continues to show a clear divergence between the stronger and weaker sectors. Consumer Staples remains the sole sector in Leading, while Financials has strengthened within Improving and is positioned closest to a potential transition into Leading.

Meanwhile, Health Care, Resources and Materials remain in Weakening despite mixed daily performances. Health Care recorded the strongest daily gain at 1.52%, but its position deep within Weakening indicates that its broader relative momentum has not yet recovered. Information Technology remains the only sector in Lagging and recorded the weakest daily performance at -1.14%.

Overall, Financials remains the sector showing the most promising momentum improvement, while continued weakness in Resources, Materials and Technology suggests that broad-based sector leadership has not yet been established.