FINANCIAL ICEBERG
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 TECHNICALS
Financial Sector (XLF) : Tentative Breakout? 
 July 20 2016 ( From Tradingview  )
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​​The Situation

​​​​​​​​SP500 ​Financials (XLF ETF)​ previous yearly low was made on
​February 11 then ​at 19.53, level last seen in the mini flash crash on
​August 24 2015.​ 
​​(See first chart below)​  It did a second low on June 27
​at 21.32 on post-Brexit Fears. ​And since then
, the XLF ETF is within
​a higher ​highs and higher lows technical pattern.
(See first chart below)

The XLF ETF finally broke on July 11 a ​Minor Resistance Trendline.
(See First Chart Below - Thick Grey Trendline)​

​​In fact, the Financial Sector are outperforming the Mighty SP500 Index
​(Ratio of XLF ETF over SPY ETF) only since July 6 2016 after testing the Support Trendline on a Relative Basis.​ 
(See second chart below - Thick Blue Trendline - Ellipse)​
​​​​​
​​
​Bulls still have a lot of work to do as we need to break the 200 DMA ​(Day Moving ​Average) on a relative basis (See second chart below - Green Line)​ and the next Major Resistance Trendline (See second chart below - Thick Red Trendline)​ to open the door for a real major breakout on the SP500 ​Financials (XLF ETF).​

But what is interesting indeed is that at a time were the Financial Sector is only catching up to the Mighty SP500 Index, we have been testing the past few trading sessions a Major Daily Resistance Trendline that started back since July 23 2015 (peak in price in that Bull cycle) but on a weak trading Volume environment. IF broken, it can give a strong outperformance to the SPY ETF. 
​(See first chart below - Thick Red Trendline - Ellipse).
​​​​​​

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Financial Sector (XLF) : Tentative Breakout?      $SPY, $XLF   #Trading #Investing  #xlf #SP500

Daily RATIO
SP500 Financial Sector (XLF)
over SP500 Index (SPY ETF) 
​20 DMA ( Day Moving Average - Yellow Line )​
50 DMA ( Day Moving Average - Red Line )​​
200 DMA ( Day Moving Average - Green Line )​

SP500 Financial Sector (XLF) - Daily Candles
​20 DMA ( Day Moving Average - Yellow Line )​
50 DMA ( Day Moving Average - Red Line )​​
200 DMA ( Day Moving Average - Green Line )​
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