FINANCIAL ICEBERG
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 TECHNICALS
SP TSX60 Index (XIU ETF): Caught by Surprise?
 June 19 2017 ​( From Tradingview )
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​The SP TSX60 Composite Index (XIU ETF) did have a great performance
since bottoming out on October 31 2016 week (just before the US Election).
​It did peak on February 13 2017 and is within a Consolidation Phase
(Weekly Downtrend Channel).  
(See First Chart Below) On the January 2 2017
​week, we did have a Breakout on the XIU ETF as
we broke the Major
​Weekly Double Top Trendline at 22.78 that was significant 
for Bulls then.

​​Most of us do not realize that it is the first time (since the January 2 2017)
that we did have a weekly close below 22.78 on the XIU ETF as shown by
​the first chart below (Red Trendline).


The market was totally Caught by Surprise from a speech of the Bank of Canada: ​​
​Canadian economy showing encouraging signs, says Senior Deputy Governor Wilkins

​​​​Many unintended consequences from that speech:
1) Short term interest rates spiked up in Canada
2) The Canadian Dollar rallied tremendously
3) ​​​But the most interesting technical factor is that we reached a high ever on a Weekly Close on a Relative Volatility Basis (Weekly Ratio of the Volatility of the SP TSX60 Index (VIXC) v1 the SP500 Index ( VXO ).
(See Second Chart Below - Thin Blue Line)​.
4) The Relative performance (Weekly Ratio of the XIU ETF over the SP100 Index ETF OEF) reached a level last seen on June 2004!

That rising relative volatility is showing a lot of nervousness for the Canadian Market... As we broke the Previous Weekly Double Top Support on the XIU ETF, Bulls are loosing momentum tremendously...

​​

.




SP TSX60 Index (XIU ETF): Caught by Surprise?  $TSX  #Trading #Canada #investing #tsx60 #stocks #risk
 SP TSX 60 Index - XIU ETF ( Daily Candles - Top Panel )​​
​4 WMA ( Yellow Line )
​​12 WMA ( Blue Line )
52 WMA ( Red Line )
Financialiceberg.com
Financialiceberg.com
Weekly Ratio
​SP TSX60 Composite Index Volatility (VIXC)
over
SP100 Index Volatility (VXO)​
Blue Line​