XBI
Wider triangle on $XBI established on dailyStill holding. Worth mentioning that RSI is still breaking through.
Updated $XBI chartNot a strong close as the 52 price level was rejected but relative strength to the S&P was outstanding all day long. Still waiting for that higher high on the intermediate term that would come with a break of the pink triangle. Might be a good time to raise your stops if you entered around 50.
Long $XBIBullish signs beginning to emerge after 9 months of underperformance.
Bounce off of inside trend line from August high. SMAs of 5, 20, and 50 scrunched up inside midpoint of symmetrical triangle ready to slope upward with any price continuation. RSI closed over 50.
Entered at 50.46.
First price target is 60.00. Gap to fill, 200 SMA test, and second target at 64.25.
Stop below low on 3/29 and triangle at 47.87.
Approximate Risk / Reward = 1 / 3 at first target; 1 / 5 at second target
Head and Shoulders forming on $XBI, just like in DecemberSince all-time highs, AMEX:XBI has developed 2 head and shoulders and is currently developing a third one. Given how overbought AMEX:SPY is and how troubled AMEX:XBI and NASDAQ:IBB are, I suspect this pattern will form. My target is roughly $38.
Predictive Model Eyes 41.06 Support; Duo Geo's Off-Set Rule #3SYNOPSIS:
MARGET GEOMETRIES:
- GEO:
This represents a high-probability event, whereby two Geos have a shared 5-second point defined. As per the Geo's Off-Set Rule list, this third condition calls for a limited rally to the price level corresponding to Point-3.
- JANUS (Proprietary Pattern):
A prop pattern is lending support to a probable near-term support at the 40.07/41.06 range. This is often associated with a reversal to the levels corroborating those of the Geo's higher levels of attainment, namely along the 1-4 Line.
PREDICTIVE/FORECASTING MODEL:
On its own, the Predictive/Forecasting Model eyes an interim rallying that is likely to be limited. However, as per the Geo's overlap, a subsequent rallying of lesser probability could occur as shown in the chart.
OVERALL:
In the most immediate timeframe, price is likely to be tethered within a low of 40.07 and a high of 57.54. If price gains bullish momentum, it should break the 59.16 roof and rally to the height defined in the chart near 85.38 at a maximum, or along the dotted blue 1-4 Line at a minimum.
INVALIDATION:
Look for dashed forecast line failure for a general invalidation, although a significant break below 40.07 would cause a complete revision of this Model's based forecast.
Best,
David Alcindor
Predictive Analysis & Forecasting
Durango, Colorado - U.S.A.
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Twitter: @4xForecaster
Linked-In: David Alcindor
TradingView: 4xForecaster
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Cup with Handle for XBIcup with handle, right side ends at $63 when handle should form, around March-24th. It could go up to $80-90 by June.
~67 support, market weakness & we fall to 66.50 $LABU $LABDNo position until descending channel break out. $SPY
ETFs potential BUYS -XPH-EIDO-EUO-XBI-BIBFor Monday’s open, 5 ETF's are potential buys under my rules for Pullback Strategy. This strategy identifies oversold ETFs and takes advantage of the tendency for prices to revert to the mean in the short term.
The ETFs set up as potential buys for Monday are listed in the table below:
XPH -SPDR S&P Pharmaceuticals
EIDO - Indonesia Invstble Mkt Idx MSCI
EUO - Ultrashort Euro Proshares
XBI - SPDR S&P Biotech
BIB - Ultra Nasdaq Biotechnology Prosh
