Why Im Watching Real Estate [VNQ]

AMEX:VNQ   Vanguard Real Estate ETF
Vanguard Real Estate is showing some interesting things after quietly consolidating since early June. And now, it finds itself in the midst of a breakout of its previous all time high at $105.77. It is still very early, but if the VNQ can confirm any sort of sustained price action above the $105.77 price level on the daily and weekly time frames, fireworks could be in store for the REITs sector of the market.
It should be mentioned that VNQ's price action has not properly back-tested the always important .786 fib level ($99.35) I have plotted here. So a pull back to this level before having enough juice to push decisively through the all time high would not be out of the ordinary.
On the flipside, if the VNQ can get a close above the major level we are at this week, a setup for price to run to $124 could be in the cards in the not-so-distant future.