Historically NYSE:FCX has been bearish the week of or week leading into AMEX:XLB dividend. Shown here is its support and resistance, movement this summer, along with selloff in correlation to XLB dividend dating back to Dec 20, 2019. Materials and metals have popped this year with AMEX:GLD taking charge earlier this summer. FCX has beat earnings expectations...
My two most favorite indicators (RSI+MACD; not too crazy) just broke their monthly trends. I think consumption data should be followed more closely in the next quarter to provide us with reassurance that the consumer remains strong. Watch unemployment to remain contained, sentiment remain broadly positive - Umich, NFIB smallbus, OECD CEO - and that Homebuilder...
Episode 6/11: US (SPX) Sectors Technical Analysis Series - 17th of July 2019 Brief Explanation of the chart : Wave Extension 1.618 target reached 64.34 (based on length of drop from 2009). Sin lines represent the stages of the cycle(it can't always overlap perfectly). Current bullish channel recovery since the drop that happened at the end of 2018 ...
I heard some interesting commentary this week from the pros about watching for signs in the cyclical:defensive sector ratio. I put together this chart using (XLK+XLI+XLB)/(XLP+XLU+XLV). It is a composite of tech, industrials and materials indexes as a ratio to staples, utils and health sector indexes. The chart ratio is about 1:1 right now. In a late stage...
Although VIX finished the week above the low volatility environment zone (<15) at 16.48, not much is enticing here from a premium selling standpoint at first glance. Earnings announcements are now down to a trickle, with the next quarter's announcements coming into range in the May cycle, militating in favor of putting on earnings-related volatility contraction...
With broad market volatility ramping up over the past week here (see VIX, VXN, RVX), premium sellers can afford to be picky here, since the board is alight from here to Sunday with implied volatility ranks in the 70's for ... well ... a ton of stuff. For earnings, my eye is on AA and NFLX with nearly ideal rank/implied metrics for volatility contraction...
New bullish credit spread on XLB (materials). After two weeks of bearish movement on XLB, we saw a close above $57.92 support and a bullish open this morning. Looking for bullish to neutral movement this week. Entry 58.54 Max profit 59.00 Break even 58.72 0.78:1 risk/reward Adjusted the XLB bullish credit spread to add a bullish credit spread one strike...
XLB (Materials ETF) has been consolidating for weeks and looks like it's getting ready to make a move higher. With Squeezes on both the Weekly and Daily Chart this looks like a 'set it and forget it' type trade: In a perfect world, I'll be looking for a pullback tomorrow where I can pick up the 58/57 Put Credit Spread: Put Credit Spread Sell 58 Jan Monthly...
1 week of consolidation and then we move up to complete our X wave and eventually fall down again to 3 k to complete our Z... Target for X wave is between 8.5 - 9 k...
A bullish signal on XLB (Etf Materials Select Sector) with the target in the area $63.50. Stop loss at $57.30.
The deconstruction continues in material stocks. The culprit this time around was a poor reading and interpretation of construction spending. I think it was a big over-reaction given the overall trends. Deconstructing Materials Stocks. drduru.com $USCR $AYI $XLB
Earnings season is in full swing, with a bevvy of announcements: NFLX: announces on Monday after market close, with a rank of 79 and a background of 44. VZ: Tuesday, before market open -- rank 80/background 25. PG: Tuesday, before market open -- rank 86/background 17. GE: Wednesday, before market open -- rank 100/background 39. CAT: Thursday, before market open...
Easy indicators for support/resistance lines. $XLB $IJR $IWM #materials
The Materials Sector SPDR Fund has been in a bull trend since the end of the financial crisis. The trend has narrowed but remains upright since December 2016. The fund has been in a more specific trend channel since February and has created firm support and resistance levels. The fund is currently at that resistance level. Below I have laid out the reasons and...
A possible major dimension trend start
SPX vs Major Sectors. I added IBB to cover Biotech. Please comment. My understanding at this point is to stay in sectors which have good fundamentals and have been relative laggards. The 3 bottom ones at this point seem to be Financials, Technology and XLU / XLP. Since utilities is a risk-averse sector, so in a pro-growth environment I may want to go with the...
Buy the reversal back to the trading range, if strong follow-through continues, then we want to see the break of range and pullback to range high, then high potential for trend continuation.