First Trust Feature | Nasdaq Dorsey Wright

First Trust Feature

Published: January 28, 2026

This content is for informational purposes only. This should not be construed as solicitation. The general public should consult their financial advisor for additional information related to investment decisions.

There is a change to the First Trust Sector Model ([FTRUST]) with the addition of the First Trust Materials AlphaDEX Fund (FXZ).

There is a change to the First Trust Sector Model (FTRUST) with the addition of the First Trust Materials AlphaDEX Fund (FXZ). Recall the First Trust Sector Model utilizes an RS versus benchmark methodology, as opposed to an RS matrix of the model’s full ETF lineup. The First Trust Sector Model’s process compares each of the funds in the model’s universe to the S&P 500 Index (SPX) on a 6.5% scale RS chart. If the RS chart resides in a column of Xs, the ETF is included in the model’s holdings, while an RS chart residing in a column of Os warrants the fund’s exclusion.

Following Wednesday’s (1/21) action, the RS chart comparing FXZ to SPX reversed into a column of Xs after having been in Os since May 2023. FBT has a strong fund score of 4.53 with the fund maintaining a positive trend since September last year and positive near-term market RS since early January. After completing a third buy signal in December shares have pushed to match the all-time chart high from April 2022 at $75. With the addition of FBT, the First Trust Sector Model will rebalance with eight holdings to equally weighted at 12.50% and continues to maintain an overweight toward technology.

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DISCLOSURE

**Unless otherwise stated, the performance numbers herein are based on price returns and do not include dividends or all transaction costs. Past performance is not indicative of future results. Potential for profits is accompanied by possibility of loss. First Trust has arranged with Dorsey, Wright to provide this specialized ETF page on the First Trust ETFs. The Point & Figure analysis, models and resulting rankings, including any information, data or commentary included therein, are created and provided solely by Dorsey, Wright & Associates. Such analysis, models and rankings should not be considered an offer to purchase or sell, or a solicitation of an offer to buy or purchase any security, including First Trust ETF shares. The examples presented do not take into consideration commissions, tax implications, or other transactions costs. Neither First Trust nor Dorsey Wright through this ETF page provide investment advice or recommendations regarding any security, fund or market. As the investment professional making the final decision with respect to allocations, including any related suitability, fiduciary or other legal obligation, please remember to adhere to all applicable laws, regulations and rules, including NASD Rules 2090 and 2111 (Know Your Customer). The percentage of the portfolio devoted to any ETF is at the sole discretion of the financial advisor or the customer, and not Dorsey, Wright & Associates or First Trust. If you are not familiar with Point & Figure methodology, we suggest you read “Point & Figure Charting, 4th Edition” by Thomas J. Dorsey and visit the PnF University, www.dorseywright.com. If you are not familiar with the First Trust ETF product, or Exchange Traded Funds (ETFs), we suggest you visit www.ftportfolios.com.