SOX Update (weekly chart)SOX, as well as the broader XLK, has diverged somewhat from SPY, and remains stubbornly above the 52 week EMA. The red D point is a longer term Gartley target based on a 61.8% retrace from point C.
However, it is still in an Ichimoku resistance area, and has potential to reverse.
Key support areas are;
1) 2854 -2794 DOJI, and potential pivot area
2) 2848-2742 Blue Point B, a prior swing high and potential pivot area
3) 2838 Gann Confluence Point and potential support
Should pivot areas 1) and 2) above fail, the final point to watch is the Gann Confluence around 2838. A fail below this point would be bearish. Also, an extended stay below the 52 week EMA would be bearish.
Presently the chart sits above the longer term downtrend set from 1/22 high to 10//22 low and has a ways to go before that channel should continue.
