If the stock market can move sectors and stocks, which sectors and stocks are most likely to move in step with the stock market? Sectors and individual stocks most highly correlated to the overall market can use the S&P 500 SPDR ETF (SPY) as a directional indicator.

The following individual stocks are most correlated the S&P 500 SPDR ETF (SPY).

MMM 3M Co
BK Bank Of New York
HON Honeywell Intl
C Citigroup Inc
COF Capital One Financial
MDT Medtronic, Inc
UTX United Technologies
BAC Bank of America Corporation
MS Morgan Stanley
GD General Dynamics Corp
WFC Wells Fargo
TWX Time Warner
UNP Union Pacific Corporation
AMZN Amazon.com Inc
MET Metlife Inc
ALL Allstate Corp
MRK Merck & Co
USB US Bancorp
GS Goldman Sachs Group
WAG Walgreen Co
JPM JPMorgan Chase & Co

Dave Mecklenburg is the Publisher of TigerSharkTrading.com.