Always consider hidden risks
SP TSX60 Index (XIU ETF): Back at Resistance Zone?
August 08 2016 ( From Stockcharts )
If you would like to receive our free daily markets updates, please Sign-Up
The SP TSX60 Composite Index (XIU ETF) failed to break on June 8 2016the daily resistance trendline that started back since August 27 2015.(See First Chart Below - Top Panel - Blue Trendline - Elipse)Very weak trading volume environment when we tested that daily level.
(See First Chart Below - Top Panel - Blue Area)Same technical pattern since July 21 2016 as we keep trying to break
that resistance trendline with a weakening trading Volume.
We are into a narrow parallel channel on the XIU ETF since July 22 2016
(See First Chart Below - Channel) and a tiny triple top at 21.44 reached on July 22, July 27 and August 5 2016.
So already a Daily close above 21.44 will be a great achievement for Bulls as first tentative Breakout.
Interesting to note that the XIU ETF is at +7.5% above the 200 DMA (Day Moving Average) (See First Chart Below - Green Line) and not in a Breakout mode yet as the SPY ETF (SP500 Index) is only +6.6% above its 200 DMA and in a Breakout phase.
But the most interesting technical factor is that we are testing for a third time the Weekly Fibonacci Retracement Resistance Zone of .764 (from a peak price of 22.78 reached in April 2015 and a bottom price of 17.70 reached on January 2016) which is 21.43 for the XIU ETF. Not surprising that tiny triple top at 21.44...
It could become a significant change for the Canadian Stock Market indeed if broken and could finally do some catch up compare to the Mighty SPY ETF.
(See Second Chart Below - Thin Blue Line- Ellipse). .
SP TSX60 Index (XIU ETF): Back at Resistance Zone? $TSX #Trading #Canada #investing #tsx60
SP TSX 60 Index - XIU ETF ( Daily Candles - Top Panel )
20 DMA ( Yellow Line )
50 DMA ( Blue Line )
200 DMA ( Red Line )
SP TSX60 Composite Index - XIU ETF