November 30, 2012 at 10:47 AM | written by Arthur Hill
The Home Construction iShares broke below support in mid November, but this break did not hold as the ETF quickly surged back above 20. A flat consolidation has since formed and traders should watch these boundaries for the next directional clue. An upside breakout signals a continuation higher, while a downside break would be short-term bearish.
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November 29, 2012 at 7:28 AM | written by Arthur Hill
First Solar (FSLR) is leading solar stocks with an ascending triangle breakout on expanding volume. As a bullish continuation pattern, the breakout signals a continuation of the prior advance and targets a move to the low 30s.
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November 28, 2012 at 3:15 PM | written by Arthur Hill
Momentum is improving for lululemon (LULU) as MACD turned positive for the first time since late October. On the price chart, the stock is challenging the upper trend line of a falling channel. A breakout would signal a continuation of the August-September advance and target a move to new highs.
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November 27, 2012 at 12:34 PM | written by Arthur Hill
After a sharp decline the first half of November, the Utilities SPDR (XLU) firmed for two weeks and then surged above its first resistance level. Notice that upside volume also surged twice in the last six days. Broken support turns next resistance in the 35.75-36 area.
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November 23, 2012 at 6:22 AM | written by Arthur Hill
The Nikkei 225 ($NIKK) is getting a boost from weakness in the yen. Notice that the index broke resistance as the Yen Index ($XJY) broke support. The Nikkei benefits because a weaker Yen makes Japanese exports more competitive and this helps the overall economy.
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November 21, 2012 at 6:06 PM | written by Arthur Hill
The Networking iShares (IGN) is showing some buying pressure with a flag breakout over the last four days. The ETF broke the September trendline in early November, pulled back with a flag and then broke the flag trendline. Notice that the price relative (IGN:SPY ratio) broke its trendline in November and IGN is showing some relative strength.
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November 20, 2012 at 11:52 AM | written by Arthur Hill
The Silver ETF moved sharply lower in October and then bounced with a rising wedge. The wedge is still rising, but broken support turns resistance in the 32.5 area. A wedge break would signal a continuation lower and target a move to next support in the 29 area.
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November 19, 2012 at 3:01 PM | written by Arthur Hill
Stocks found a bid on Monday as the Consumer Staples SPDR (XLP) continued its bounce off the rising 200-day moving average. Notice that XLP hit this moving average on Wednesday, firmed on Thursday and bounced on Friday. Today’s follow through confirms support in the 34 area.
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November 16, 2012 at 12:25 PM | written by Arthur Hill
Take-Two Interactive ($TTWO) is showing relative strength with a triangle break earlier this week and break above its October highs today. Notice that the
StockCharts Technical Rank (SCTR) broke out just before the triangle break and surged above 70 this week. TTWO is part of the S&P SmallCap 600 ($SML).
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November 15, 2012 at 11:56 AM | written by Arthur Hill
The Home Construction iShares (ITB) failed to hold its break above 21 and plunged over the last eight days. Volume expanded as the ETF broke the October lows. Notice that On Balance Volume (OBV) peaked a week ahead of the ETF and then moved to its lowest level since early August.
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