Many industry sectors have been moving in sync with the major indices in recent weeks, but the Semiconductor Index ($SOX) has been showing major relative weakness.

Although Deron Wagner continues to stay abreast of the strongest ETFs in the market, all five of his open ETF positions have a low correlation to the direction of the overall stock market.

Deron Wagner discusses a few ETFs worth his consideration as the market pulls back.

Deron Wagner takes a look at two ETFs with relative strength, which may provide low-risk pullback buy entries within the next few days.

Deron Wagner believes the overall reward/risk is at least starting to tip back into favor of the bears, and there are several things a trader should do to handle this potentially transitioning market.

None of Deron Wagner's buy or sell orders for ETF trades ever go live until after the first five minutes of trading. The reason behind this rule is that ETFs, as well as stocks, sometimes print rogue opening trades that would otherwise cause positions to falsely trigger for entry, or hit their stops.

Given the intermediate-term technical picture of the S&P and Nasdaq, it may be a good idea to lay low for the next few days, with regard to entering new trades

During the past two days, there have been quick morning selloffs that retreat about 1% or so off the intraday high before finding support. Once the market sells off, traders with no conviction may think that this could be the beginning of a multi-day selloff in the market, so they exit on a whim. These type of mistakes can easily be corrected by traders if they commit to planning the trade before entering, and reviewing the trade plan for each position every night.

Deron Wagner provides an educational explanation of one of this week's profitable trades, including both the reasoning for the original entry price, and the basic determination for setting the approximate target price.

Important sector ETFs are beginning to hold key support levels and break above key resistance levels, indicating that the market appears to be gaining some traction.