S&P (S5INFT): Descending channel, Information technology sector
Information technology sector is part of the S&P 500 list. It basically includes all the big names you can think of (Apple, Intel, Microsoft,...).
S5INFT (S&P 500) is currently in a descending channel.
With a death cross in March, descending 200MA and 50MA, this sector is in an obvious bear trend.
Lower highs and lower lows are showing week after week.
If this trend continues, availability of electronics is likely to increase and the price tag of components likely to come down. Hope I'm right on this one cause I own some 2023 SOXS calls ( Direxion Daily Semiconductor Bear 3X Shares).
I'm basically betting that the price of electronic components will deflate by a fair amount.
Back to S5INFT, if the price action continues to stay within the lower/upper trend lines, or if it breaks the lower trend line, target prices are as follows:
Target 1 = 2084$
Target 2 = 1931$
Target 3 = 1801$
Target 4 = 1550$
Target 5 = 1450$
Could go even lower.
Keep an eye on the top edge of the channel. If price action ever breaks it and start climbing again, adding higher highs and higher lows for a few weeks, could mean a reversal is brewing.
Stay humble, have fun, make money!
S5INFT (S&P 500) is currently in a descending channel.
With a death cross in March, descending 200MA and 50MA, this sector is in an obvious bear trend.
Lower highs and lower lows are showing week after week.
If this trend continues, availability of electronics is likely to increase and the price tag of components likely to come down. Hope I'm right on this one cause I own some 2023 SOXS calls ( Direxion Daily Semiconductor Bear 3X Shares).
I'm basically betting that the price of electronic components will deflate by a fair amount.
Back to S5INFT, if the price action continues to stay within the lower/upper trend lines, or if it breaks the lower trend line, target prices are as follows:
Target 1 = 2084$
Target 2 = 1931$
Target 3 = 1801$
Target 4 = 1550$
Target 5 = 1450$
Could go even lower.
Keep an eye on the top edge of the channel. If price action ever breaks it and start climbing again, adding higher highs and higher lows for a few weeks, could mean a reversal is brewing.
Stay humble, have fun, make money!
