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TECHNICALS

SP TSX60 Index (XIU ETF): Near Break Out?
March 3 2016 ( From TradingView )

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The Situation

But one interesting technical factor is that the SP TSX60 Composite Index
( XIU ETF ) broke on the upside the 50 DMA ( Day Moving Average ) on
February 17, a good sign indeed. (See Chart Below - Top Panel - Red Line - Ellipse ).

The SP TSX60 Composite Index ( XIU ETF ) is still trading within a
Falling Wedge Pattern that started back since October 16 2014.
We did have a false break down in Mid-January and a strong dead cat
bounce followed... ( See 1rst Chart Below - Top Panel - Red Trendline )

We are now testing the Resistance of that Wedge at 19.30.Bulls need to break that Wedge Resistance for a sustained rally.

But one interesting technical factor is that at the same time we are testing the Resistance of that Falling Wedge, we already broke the resistance trendline from the PVT indicator ( Price Volume Trend )...
( See Chart Below - Bottom Panel - Amber Trendline - Ellipse ).

At a time we are near testing the Resistance of that wedge in price for the XIU ETF, Relative Volatility
( Canadian TSX60 VIX over US SP500 VIX ) is at the highest zone of the past 4 years as shown by the second chart below.

But the most interesting technical factor is that on a Relative Basis ( XIU ETF over SPY ETF ), we are testing the resistance trendline from a Major Falling Wedge that started since May 2009. Breaking that resistance will bring a strong outperformance of the Canadian Stock Market over the American one...
( See 3rd Chart Below - Red Trendlines -Ellipse ).

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SP TSX60 Index (XIU ETF): Near Break Out? $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 TSX 60 Index - XIU ETF PVT ( Bottom Panel )

Financialiceberg.com

Daily RATIO
SP TSX 60 VIX
over
SP500 Index VIX - CBOE
( Daily Blue Line )

Financialiceberg.com

Daily RATIO
SP TSX 60 Index - XIU ETF
over
SP500 Index - SPY ETF
( Daily Candles )