novvoll12
Short

XLU $44.16: Breaks below triangle support for further downside

AMEX:XLU   UTILITIES SELECT SECTOR SPDR FUND
xlu
32 1 2
xlu
XLU             broke below a 7-week triangle consolidation support (as shown on the weekly chart), completing a bearish continuation pattern. Further losses risk 43.49 (March 23, 2015 weekly low) then 43.01 (March 9, 2015 weekly low) next. Below there would expose 41.40 (September 22, 2014 higher low). The 45.46 high (April 20, 2015) should cap near term bounces. Only a break above the latter would defer the downside and stabilize for 45.65 (March 16, 2015 high).
Outlook:
Short term: bearish
Long term: neutral
MACD turning positive says otherwise
Reply