FINANCIAL ICEBERG
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TECHNICALS
SP500 Technology ETF (XLK): The Apple Experiment?
September 26 2016 ( From TradingView )
September 26 2016 ( From TradingView )
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The Technology Sector ETF is at a Major Technical Crossroads after
reaching a new high in this cycle (on September 22 at 47.97).
That good performance coms from a Breakout on July 20 2016.
(See First Chart Below - Grey Trendline - Ellipse).
Here is some Technical Observations:
1) The XLK ETF is now at 13.6% from its bottom reached on June 27
2016 (post Brexit low) and SP500 Index (SPY ETF) is at only 8.7%.
Apple Shares are up +23.2% since June 27.
2) The XLK ETF from highest peak price (reached on September 22 2016) to the lowest price yet this year (reached on January 20 2016) was 20.7% and only 17.6% for the Mighty SPY ETF and 23.0% for Apple Shares.
3) The XLK ETF is at +8.9% above the 200 DMA (Day Moving Average) zone. (See first chart below - Green Line - Ellipse)
and SPY ETF is only at +4.8% and Apple Shares a tiny +10.5% above the 200 DMA.
4) On a relative basis (the ratio of XLK ETF to the Mighty SPY ETF), we are back testing a Trendline that started back since December 1 2015 (from overbought zone) and still above the 200 DMA. (See second chart below - Red Trendline - Ellipse) We are also back within a stepp rising wedge from overbought territory.
5) On a relative basis (the ratio of XLK ETF to Apple Shares Price), we broke on September 13 a Support Trendline from an Uptrend Channel that started back since July 22 2015, so Apple out performing strongly since then. (See third chart below - Blue Trendline - Ellipse)
6) But the real interesting part is that at a time XLK is making a new high price ever, Apple Shares Price were coming off from an overbought zone. (See fourth chart below - Bollinger Bands% - Bottom Panel)
The Information Technology weighting within the SPDR SP500 ETF is 21.20%. Apple Shares are 3.28% of the SPY ETF but a heavy 13.74% of the XLK ETF. Not Surprise to see that strenght lately on the Technology Sector as Apple Shares are in an upmove and pushing that ETF tremendously.
After a Strong Breakout on Sept 13, Apple Shares reached quite soon - Sept 15 (according to the Bollinger Band % ) the Overbought Zone which is associated as history suggest of a potential reversal risk for Apple Shares and the XLK ETF. (See Fourth Chart Below - Top Panel - Amber Vertical Lines: Bottom Panel - Bollinger Band % - Blue Line)
Apple Shares seasonality are turning bearish (from the past 10 years) from September 22 to October 5. So expect also some consolidation to the Technology Sector ETF XLK. Welcome to the Apple Experiment...
reaching a new high in this cycle (on September 22 at 47.97).
That good performance coms from a Breakout on July 20 2016.
(See First Chart Below - Grey Trendline - Ellipse).
Here is some Technical Observations:
1) The XLK ETF is now at 13.6% from its bottom reached on June 27
2016 (post Brexit low) and SP500 Index (SPY ETF) is at only 8.7%.
Apple Shares are up +23.2% since June 27.
2) The XLK ETF from highest peak price (reached on September 22 2016) to the lowest price yet this year (reached on January 20 2016) was 20.7% and only 17.6% for the Mighty SPY ETF and 23.0% for Apple Shares.
3) The XLK ETF is at +8.9% above the 200 DMA (Day Moving Average) zone. (See first chart below - Green Line - Ellipse)
and SPY ETF is only at +4.8% and Apple Shares a tiny +10.5% above the 200 DMA.
4) On a relative basis (the ratio of XLK ETF to the Mighty SPY ETF), we are back testing a Trendline that started back since December 1 2015 (from overbought zone) and still above the 200 DMA. (See second chart below - Red Trendline - Ellipse) We are also back within a stepp rising wedge from overbought territory.
5) On a relative basis (the ratio of XLK ETF to Apple Shares Price), we broke on September 13 a Support Trendline from an Uptrend Channel that started back since July 22 2015, so Apple out performing strongly since then. (See third chart below - Blue Trendline - Ellipse)
6) But the real interesting part is that at a time XLK is making a new high price ever, Apple Shares Price were coming off from an overbought zone. (See fourth chart below - Bollinger Bands% - Bottom Panel)
The Information Technology weighting within the SPDR SP500 ETF is 21.20%. Apple Shares are 3.28% of the SPY ETF but a heavy 13.74% of the XLK ETF. Not Surprise to see that strenght lately on the Technology Sector as Apple Shares are in an upmove and pushing that ETF tremendously.
After a Strong Breakout on Sept 13, Apple Shares reached quite soon - Sept 15 (according to the Bollinger Band % ) the Overbought Zone which is associated as history suggest of a potential reversal risk for Apple Shares and the XLK ETF. (See Fourth Chart Below - Top Panel - Amber Vertical Lines: Bottom Panel - Bollinger Band % - Blue Line)
Apple Shares seasonality are turning bearish (from the past 10 years) from September 22 to October 5. So expect also some consolidation to the Technology Sector ETF XLK. Welcome to the Apple Experiment...
SP500 Technology ETF (XLK): The Apple Experiment? $SPY, $XLK, $AAPL #aapl #xlk #sp500
Technology Sector Fund ETF XLK ( Daiy Candles )
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
Financialiceberg.com
Daily RATIO ( Candles )
Technology Sector Fund ETF XLK
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 )
Technology Sector Fund ETF XLK
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 )
Financialiceberg.com
Daily RATIO ( Candles )
Technology Sector Fund ETF XLK
over
Apple Shares
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
Technology Sector Fund ETF XLK
over
Apple Shares
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
Financialiceberg.com
Top Panel - Apple Shares ( Daiy Candles )
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
Bottom Panel - Bollinger Band in % ( Blue Line )
20 DMA ( Day Moving Average - Yellow Line )
50 DMA ( Day Moving Average - Red Line )
200 DMA ( Day Moving Average - Green Line )
Bottom Panel - Bollinger Band in % ( Blue Line )
Financialiceberg.com
