SOX - A Tale of Three Channels
Pretty clear long term channels dating back to 2000 and 2003. Plus a steeper near term growth channel has formed between two uptrend lines, confirmed with multiple touches. Looking for SOX to step up into new highs and for much of the past resistance to become support.
(1) - Looks as though this move down may have already occurred this week and we found some decent support at the old resistance Downtrend line.
(2) - Looking for a move higher and possibly a fake break above the Growth Channel.
(3) - Pull back to and retest of the 2018 ATH
(4) - If we reach these levels we would be looking for some confirmation by either moving higher within the Growth Channel or a break above.
(5) - Probably a good chance of testing lower after these levels. Probably a return to lower Growth Channel band.
Time Frame: 1-6 Months
(1) - Looks as though this move down may have already occurred this week and we found some decent support at the old resistance Downtrend line.
(2) - Looking for a move higher and possibly a fake break above the Growth Channel.
(3) - Pull back to and retest of the 2018 ATH
(4) - If we reach these levels we would be looking for some confirmation by either moving higher within the Growth Channel or a break above.
(5) - Probably a good chance of testing lower after these levels. Probably a return to lower Growth Channel band.
Time Frame: 1-6 Months
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