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One of the noteworthy developments in recent days has been the move in defensive stocks.  The group was under selling pressure in recent days as it’s all but certain that the Federal Reserve will increase interest rates several times in 2018.  After a lack luster 2017 that saw the Utilities Select Sector SPDR ETF (XLU) added 8.5 percent, the ETF fell more than 6 percent YTD, underperformed the S&P by a wide margin.  Now the question is whether recent selloff is a beginning of an end or there’re more pains ahead?  Below is an update look at a trade in XLU.

The graphic below is from our “U.S. Market Trading Map”, show the near-term technical bias and trading ranges.  As shown, the underlying is in a short-term bullish trend when the price bars are painted in green.  The underlying is in a short-term bearish trend when the price bars are painted in red. 

Chart 1.1 – Utilities Select Sector SPDR ETF (weekly)

Our “U.S. Market Trading Map” painted XLU bars in red (sell) – see area ‘A’ in the chart.  Over the past few weeks, XLU has been trending basing sideways just below the 100-week moving average after falling below that level in early 2018.  That level is significant in charting terms.  It provided support since the ETF reached a major low in 2009. It’s now acting as strong resistance…Click here to read more.

You see, our trend-following system is very unique as it attempts to pick turns before others see them. Timing is everything and if you’ve applied our system correctly, you should have made a killing in any markets.


This is just an example of many successful trades that our member had enjoyed recently. After all, aren’t you glad you subscribed?

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