TAN trade ideas
[LONGTERM] LONG and SHORT positions on GUGGENHEIM SOLAR ETF LONG and SHORT positions on GUGGENHEIM SOLAR ETF
TAN, ready to replace fossil fuel..hmmmTechnically speaking, this solar ETF has broken out of downtrend channel and consolidating for next move
especially a weekly belthold with 3x the volume.
The next minor resistance is around 32-36 and the major one will be 48 for bullish move while a failed upmove will see price go down to perhaps 19-20
the constituent stocks can be found in guggenheiminvestments.com
TAN at 50% level of former downmovewe reside at the 50% level of a fromer downmove where price once allready found resistance
the current rallie allready lost a lil steam , indicated by the broken demandline
any lower high and therefore a rejection of 50.80 will lead us back to 41.90
respectively support at 32.85 which will mean we stay in a rangebound
TAN $45.83: Completes a monthly bull flag breakoutTAN extended the strong rally off the 31.77 low (January 20, 2015) to break above a 12-month falling channel (from March 2014 high), completing a bullish flag pattern on the monthly chart and triggering further gains towards 51.07 (March 7, 2015 high). Clearance above there would confirm a higher base and accelerate the uptrend towards 53.00 (50% retracement of the 93.40/12.60 fall) and then 62.53 (61.8% retracement).
Near term, 42.18 (March 10, 2015 higher low) and the 200 day moving average currently at 38.42 are immediate support levels (not shown on the monthly chart).
Solar sector catches some upside momentumSince the beginning of March this solar ETF entered into bear channel and was laggard sector vs broad market as investors were buying major cap, high dividend stocks.
Nevertheless, it is just 38% pullback from big move from $15.00. Now, it builts higher highs and higher lows - strength of buyers. Yesterday, it closed near highs and broke previous dwing high at $42. So, it could be our point of potential support, then we have 8/21 EMA $40.60-$41.20 respectively. Previous low at $39.09. Target #1 $44.30ish.
Some stocks from this sector that are showing strength: $FLSR, $SCTY, $SPWR, $TSL.
Solar ETF Guggenheim gives a buy signalSolar ETF Guggenheim is coming out from an intermediate retracement and moving higher towards next resistance level 46.00-48.00 (target). Expected by the end of June2014.
When is the pullback in solar over?The momentum in solar has been nowhere to be found lately, but because the pullback looks very clean and has done zero technical damage on the longer term picture, I am highly bullish on this one. (a breach of the support @36 would change things). Will look for entries if it takes out the swing high at 42. As far as targets goes, a natural one would be the prior highs around 50
Solar Heating UpSolar ETF broke out out of its downward channel signaling a possible bullish reversal. 20EMA is current support. I find the CCI 100+ hit after a 100- hit can be a successful reversal signal as well. Look for individual solar plays as well: $SPWR $SUNE $FSLR $SCTY $CSIQ $JKS $TSL $YGE.
Caution: Watch out for bearish raid in the markets from IRAQ news. Oil prices should not affect this sector however.
Correction: Breaking 20 day ema (not 200)
TANNot suggesting a chase here. But, vol. has tapered & the key is the Fib. 61.8 retrace. Toe in water time.
