XLK trade ideas
Peak AD/Stoc and Stoc in rising wedge on $Xlkcup and handle forming.. will be shorting the handle to the .236 fib level
$MNDT Outpaces its Sectorial Peers The technology sector has played a leading role in powering the market's gains over the past couple of decades. Tech's ability to shape almost every industry means the sector remains one of the best starting places for investors seeking big gains, even during this bearish market.
My top pick for this sector is MNDT, a cybersecurity disruptor that is a winner for your growing portfolio today. As seen in the chart, MNDT (+31.94% YTD) is far-outperforming its sectoral peers as tech has taken a double-digit tumble in recent months. For instance, mega cap tech companies such as MSFT (-17.90% YTD), APPL (-12% YTD) and GOOGL (-20.60% YTD) have all underperformed relative to MNDT. This is the case too for FTNT, a fellow cybersecurity player, which has registered a 9% decline YTD despite outpacing the broader tech sector as a whole. Sectoral cybersecurity ETF’s like BUG (-16%), XLK (-18%) and CIBR (-18%) also lag far behind MNDT’s YTD gains. Relative to QQQ, MNDT has outpaced the Nasdaq baseline by some 50%, indicating just how bullish this stock is against the backdrop of an ongoing bear market.
$XLK $AAPL $MSFT will lead next rallyTech sector showing lots of relative hidden strength compared to the rest of the market. Expect Nasdaq to lead the next bear market rally.
XLK/SPY 1D looking like a Wyckoff to meThoughts ?
I'm not that experienced of a trader, but that looks pretty close to the pattern imo.
Not 100% exact ofc but when is it ever.
XLK $XLK Initial ShortXLK $XLK Initial Short. TP and SL on chart. Move SL on TP. After TP2, trail with 0.5ATR step and 1.5ATR offset.
XLK / XLP - June 27 2022XLK / XLP coiling. Decision should be made soon.
Need to wait to see break to up or downside;
vol is still uncertain as well
XLK , SHORT I would consider this a C trade.
Here's why
Cons
1) the stop is far ,
2) missed the little pop at the end of day , could have had a slightly better stop vs entry distance ( I did enter in final 30 min per my
rules , however ...)
3) we have not cleared the range, big bars are common in ranges .
4) LL , DB , MTR could be a possibility , would have rather seen several more bull days , perhaps a rally to Apri 18th low to reject
before getting my entry.... ( lower low , double bottom , major trend reversal )
Pros
1) Bulls failed to have follow through from yesterdays FOMC rally signal candle
2) Stage 4 downtrend w/ death cross valid
3) If we do breakdown more bears will sell the entry candle and follow-through candle ...
4) Possibility for a measured move down
5) Valid signal per my strat and market in RTM ( red trading mode )
Ultimately I have taken the trade anyways because I have been waiting for this and even though its a weak signal , it is a signal. I have gotten more defensive on my de risk plan too though ....
I am taking profits on 1/3 at 1R and there I will switch to BE stop .... then will cover another 1/3 at 2R , then sell the rest on a close above 10/21 ema's.
Stop 147.01
PT 133.49
Market overreactedInflation has peaked, but maybe not.
a 0.75 hike is incoming, but maybe not
recession is coming, but maybe not
Too much fear and agenda. Reality is not that frightening
XLK reached pitchfork support line, will go upXLK reached pitchfork support line and is expected to start going up (the market as well for that matter, as other symbols such as TQQQ show this).
XLK - should be srarting the upward correction soonXLK could have completed the impulse to the downside, with some possibility left for one more poke . At least that is what the divergence in momentum is suggesting. Two gaps, conveniently located at fibonacci levels shouls serve as resistance.
XLK Technology Sector: Signals of DivergenceAs the growth sector #XLK and #NDX makes lower lows there are spots of divergence displaying, which could pose as some upward impulses this week. In that case it could help to normalize a temporary ‘higher low’ in terms of the holistic outlook.
My TradingView charts (found at #bsdvs23) have mostly been bearish across the board with a few ‘potential’ bullish intraday traders here-and-there based on the broader technical structure. But that is neither here nor there since the major outlook of the trends is what is most important.
All that being said, signs of divergence are now signaling that this area of ‘the higher low’ (big picture) could be setting up for the next leg upward impulse movement in an effort of retesting the lower highs. Granted this will take ‘time and price’ to get to that level and coincidentally coincides with the major earnings session upon us.
And I should point out the bearish side of things as well to ensure the audience has the perspective of both sides here. The downside risk is the markets heading for those March lows. Something I have been very focused on the entire month of April in my YouTube videos, Facebook posts, and postings within TradingView.
All-in-all, divergence is poking its head and that should provide caution to the wind for the bears.
We will keep watch and monitor the Futures Markets as well as the sector spiders and other stocks for turning points going into the economic events this week as I will notate those below.
Mon, Apr 18
- 10:00am NAHB Housing Market Index
- Day 1 IMF Meetings
- 4:00pm FOMC Member Bullard Speaks
Tue, Apr 19
- 8:30am Building Permits
- Housing Starts
- Day 2 IMF Meetings
Wed, Apr 20
- 10:00am Existing Home Sales
- Day 3 IMF Meetings
- 10:30am Crude Oil Inventories
- 2:00pm Beige Book
Thu, Apr 21
- 8:30am Philly Fed Manufacturing Index
- Unemployment Claims
- 10:00am CB Leading Index
- Day 4 IMF Meetings
- 10:30am Natural Gas Storage
- 1:00pm Fed Chair Powell Speaks
Fri, Apr 22
- 9:45am Flash Manufacturing PMI
- Flash Services PMI
XLK - clear five waves downIn my book, and for what it's worth, this is a clear five wave impulse to the downside. No overlap, textbook alternation between waves 2 and 4, following a well defined trendline. Resistance should be at 156-158 area. It is certainly worth paying attention to further developments in XLK, as there will be no advance in major indicies without the tech sector.
Head and Shoulders Short entry with a break of the neckline and a confirmed downtrend.
Possible stop above the neckline for short entry.
No recommendation.
1st shoulder is 160.13. 2nd shoulder is 164.10. Head is 177.04.
Targets in larger orange type are targets 1. If price goes below this, the targets in smaller type are targets 2.
Growth vs Value. Technology vs Energy.While these two charts aren't the same, they are very similar. The top chart is a ratio chart of ARKK vs Berk.B. The bottom chart is a ratio chart of Tech vs Energy. If the top chart is any indication of the overall trend, then there's plenty of upside in energy still. The downside of ARKK vs BERK.B overshot the minimum downside target. This is a logical area for a bounce. The Tech vs Energy ratio looks to have a ways to go still. These rounded tops are very dependable reversal patterns. Keep your eye open for broken support lines when watching these rounded tops play out.
technology etf cup/handle breakout into a bull flag set up1hr time frame shows a cup and handle pattern breakout, even the smaller cup/handle breakout is on the 15min, this is also setting up the bull flag breakout.. It also coincides w/ the larger cup and handle breakout pattern set up on Apples Daily chart
XLK Technology ETF - Trend Lines compared to Dot Com CrashA look at how the counter rallies in the dot com crash compare to the market since 2003. The dark red lines all have the same slope on the log scale. I just moved them to align to the peaks.
You can also see that last week caused the price to break down out of the trading channel started in 2019 and then a retest Friday. This morning we are hovering under it.
It is not looking too good for tech since it has both to recapture the channel and break back above the trend line anchored to Jan 2001 peak. Crossing fingers.
1W
1D
Rejected off both the 20 and 200 day moving averages.
XLK: failed H & S? Bottom is in? To be confirmed next weekXLK on 25 Feb shows signs of bottom. However it may still be rejected by the blue trend line & make a double bottom. Breakout of that blue line will VOID the H & S pattern & uptrend channel will continue to be respected.
Target price will be 188, a 30% upside from my predicted double bottom.
But if some good news will come next will, XLK will just cut through the blue line & never look back…
considering there is a slight bullish divergence on RSI.
Not trading advice but hope this helps
