Top Down Trade of the Week (12/13/2025)

Welcome back for another Top Down Trade of the Week.

This is a classic leadership scan.

We start with the best sectors, then drill into the subgroups. We pick one, and then take a look at the top stocks in it.

Today’s standout is Industrials, which jumped to the top spot in our sector rankings as XLI closed the week at fresh record highs.

The primary uptrend for Industrials is more than just intact… It’s gaining momentum. 

We’re seeing sector indexes break out to new all-time highs at the small and mid-cap level as well.

When Industrials are leading, it typically signals broad market health — and right now, the message from these stocks is clearly bullish.

Here’s a look at our overall industry rankings, which show Aerospace & Defense stocks pushing into the top 20.

This group has been a consistent source of leadership throughout the year. 

Relative strength remains elevated, and many names continue to resolve higher from constructive consolidations.

Here are the Top 10 names in the Aerospace & Defense subsector, ranked by relative strength.

Our team at ASC runs top-down scans like this every day. If you want full access to all our research and trade ideas, JOIN ASC PREMIUM TODAY, RISK-FREE.