My take is that XLB is at the top of the TC, so if mean reversion works you could expect the DL break to turn into something interesting.
Not necessarily. If you look at the longer-term chart, this is less than a half-point above the mean.
Is this what you meant Db? Price still being almost around the mean? I had forgotten about the larger TC. The tighter and more recent became the object of my focus. Although the short isn't bad it's still not where I thought it was in relation to previous price movement. Gringo
Worry not my friend. Believe in the line. The line tells the truth. There is only one truth, and that is: Break of line and Ret, and we are in business. Just remember: No forest from the tree No land from the sea To guage supply and demand Only a line all we see Gringo
Oil is still in that hinge identified some time back. The price is reaching the end of the hinge, and so far there hasn't been a resolution as to which side has the upper hand. Price could simply drift aimlessly out of here, without having a break out of any kind. Oil used to be the rage some time back and now it has become relatively mute because of lack of an exciting price move. Lets see how the future unfolds. Oil Monthly: Gringo
XLB (Materials) is approaching the overbought supply line. The acceleration up has been remarkable. Except for the disappearance of volume, the rise in price has been almost unopposed. Gringo
The banking index is in a clear uptrend. Currently price is around the mean and might attempt to rise up to get to the overbought pink line. This is a weekly chart for the bigger picture. So far banking sector is strong, which usually means economy although may be scaring many, may continue to stay strong. Banking does get affected when the conditions change. Well, almost every index has an effect, but lets not jump the gun. The trend is up and when it gets weak we'll know. For some reason the volume is sporadic at the bottom. It doesn't change the analysis though. Gringo