Here we are looking at
XBI
I am looking at an hourly chart with a renko chart on the ATR setting just to keep it simple. A huge wedge has been developing on XBI for awhile now and we have made a breakdown on the bottom trendline. We are currently at a line in the sand on XBI and either the bulls can hold it up or we really breakdown on this final support and make our way down to the low of last year. The final support zone is at $74.50 to roughly $73.00. If we break below $73 I would look out below as there could be a big unraveling as this pattern has been developing for awhile now. The technical price target witch is the width of the wedge at the point of the breakdown is showing a 16% drop from where prices are now which would lead us right down to the low of last year. In my opinion this is a long term investment and not a trade I would happily DCA but I am cautiously bearish and want to get a better price. I am currently holding out whatever I have and plan to really start buying once we get into the mid $65 range.
XBI
I am looking at an hourly chart with a renko chart on the ATR setting just to keep it simple. A huge wedge has been developing on XBI for awhile now and we have made a breakdown on the bottom trendline. We are currently at a line in the sand on XBI and either the bulls can hold it up or we really breakdown on this final support and make our way down to the low of last year. The final support zone is at $74.50 to roughly $73.00. If we break below $73 I would look out below as there could be a big unraveling as this pattern has been developing for awhile now. The technical price target witch is the width of the wedge at the point of the breakdown is showing a 16% drop from where prices are now which would lead us right down to the low of last year. In my opinion this is a long term investment and not a trade I would happily DCA but I am cautiously bearish and want to get a better price. I am currently holding out whatever I have and plan to really start buying once we get into the mid $65 range.