XBI Chart Analysis
Don't own XBI. Below analysis is only for educational purpose & not a buy or sell recommendation.
1 & 2 : Double bottom test couldn't break the initial low. Confirming strength from buyers - Bullish
3: Last lower high in the downtrend & converting that resistance into support by re-testing it on low volumes - Bullish
4: Resistance confluence of consolidation high & long term trendline resistance broken with strong volumes – Bullish
5: Recently established weekly resistance level broken though more volume would be desirable – Weakly bullish
6: Long upper wick bar formed on high volume creating resistance at its high. Price later closed above it – Bullish
7: Consolidation zone
8:Long term trendline
Key things to look for:
A re-test of the $78-$80 area would be desirable to confirm its conversion from resistance to support.
A close below the $72-$73 area would change the odds in favor of bears from bulls.
Good luck!
