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 TECHNICALS
The Consumer Staples Sector - XLP : Relative Resistance ?
August 27 ​( From TradingView  )
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​​​​The Situation

​


​The Consumer Staples Sector ETF ( XLP ) is within a steep downtrend channel ​that ​
​started on August 18 ​as ​shown ​​by the ​​fisrt chart below. 

We broke on the downside on August 20 the 50 DMA (Day Moving Average - Red 
​line - 1rst chart below) then at 49.36 and the 200 DMA ( Green Line - 1rst chart below ​) 
​on August 21 then ​at 49.00 ( Closing price at 47.09 on August 26 ​) ​: a bad technical 
​sign for the ​Consumer Staples ​Sector.​

Then we broke on August 25 at the 47.50 level for the Consumer 
​Staples Sector ETF ( XLP ) the Support Trendline from a Wedge 
​Pattern that started back on December 16 2014. See 2nd chart below. 

The Consumer Staples Sector ETF ( XLP ) started to outperform compare ​to ​​the
​Mighty SP500 since June 5 ​​and ​the ​21 DMA (Day Moving Average) ​turned ​south
​on June 30. - See 2nd chart below. 
​
​​​But the most interesting part is that we reached the Resistance Trendline on a Relative Basis ( ratio of XLP over SP500 Index ) of the previous peak that was done on January 15 2015. Expect some consolidation of that sector within the next few sessions on a relative basis.  ( Red Trendline - 1st chart below )



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The Consumer Staples Sector - XLP : Relative Resistance ?  $SPY, $XLP #Trading #xlp #SP500



RATIO
Consumer Staples Sector ​ ETF XLP
over SP500 Index ( Blue Line )
21 DMA ( Amber Line )​

SP500 Index​ ( Candle )


Consumer Staples Sector  ETF XLP
50 DMA ( Day Moving Average - Red Line )​​
200 DMA ( Day Moving Average - Green Line )​









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