Always consider hidden risks
SP TSX60 Index (XIU ETF): Back at the Support Zone?
September 12 2016 ( From Stockcharts )
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The SP TSX60 Composite Index (XIU ETF) finally broke on August 8 2016the Major Resistance Trendline that started back since October 9 2015
but failed to stay above very long. (See First Chart Below - Blue Trendline - Ellipse)We are into a Descending Broadening Wedge on the XIU ETF since August 17 2016 (See First Chart Below - Yellow Trendlines) and testing a Major
Support Trendline that started on January 20 2016.
Interesting to note a strong trading volume environment since the
creationof the Descending Broadening Wedge (See First Chart Below - Bottom - Blue Area - Ellipse)Interesting to note that the XIU ETF is at +5.7% above the 200 DMA (Day Moving Average) (See First Chart Below - Green Line) and the SPY ETF (SP500 Index) is only +3.7% above its 200 DMA.
But the most interesting technical factor is that on a Relative Basis (XIU ETF over SPY ETF), we already broke the resistance trendline from a Major Falling Wedge that started since May 2009 (See Second Chart Below - Red Trendline) a now testing the Resistance from a Falling Wedge (See Second Chart Below - Blue Trendline). Breaking that resistance will bring a strong outperformance of the Canadian Stock Market over the Americain one...
Also, we have been above the 200 DMA (Day Moving Average) on a relative basis since June 17 2016 as very few of us noticed . (See Second Chart Below - Green line -Ellipse).
The Canadian Stock Market is at Crossroads: At the Support Trendline Price Wise and at the Resistance on a Relative Basis with the SPY ETF... Those Technical Levels becomes crucial for Bulls... .
SP TSX60 Index (XIU ETF): Back at the Support Zone? $TSX #Trading #Canada #investing #tsx60 #stocks#stocks
SP TSX 60 Index - XIU ETF ( Daily Candles - Top Panel )
20 DMA ( Yellow Line )
50 DMA ( Blue Line )
200 DMA ( Red Line )
TSX60 Index (XIU ETF)
SP500 Index (SPY ETF)