AMEX:XLK
Looking at the XLK chart, more downside appears likely.
The market regime is changing, and a rotation out of growth into value/defensive is in full swing.
XLK is showing Bearish divergence on the MACD & RSI , plus confirmation of the 9EMA is crossing under the 20EMA.
Typically, breakdowns out of this kind of chart pattern usually fall about 10-12%
While I don't believe that will happen immediately, I could see it finding support around the $148 / 0.618 fib level in the next couple of weeks.
I am going to keep an eye on the chart pattern and wait to see a breakdown below it.
Looking at the XLK chart, more downside appears likely.
The market regime is changing, and a rotation out of growth into value/defensive is in full swing.
XLK is showing Bearish divergence on the MACD & RSI , plus confirmation of the 9EMA is crossing under the 20EMA.
Typically, breakdowns out of this kind of chart pattern usually fall about 10-12%
While I don't believe that will happen immediately, I could see it finding support around the $148 / 0.618 fib level in the next couple of weeks.
I am going to keep an eye on the chart pattern and wait to see a breakdown below it.