Wang’s Happy Trading

XLF (financials)

XLF looks to be in a good position to make another move up. After jumping to $35.5 last week, people took profits and drove it back down to test $34. It bounced off $34 and is now above the 20- and 30-day MA, which are curving up. Jumping up from here to catch the upper BB will likely push the daily MAs into a bullish formation. I’ve been talking about GS and MA for the past couple of weekends. GS has been doing well and can test $120 next week. MA looks like it’s finally ready to make some bigger moves, if it can break $150. Believe it or not, I think BSC is starting to look really good also.

SOX (semiconductors)

SOX has been trading around 500 since the end of July. Closing above 500 this week was a good sign. I especially like seeing the 10-day MA crossing above the 20-day MA, and thus starting to establish a new bullish formation. TXN, AMAT, and WFR are still among my favorites in this sector.

XME (metals and mining)

I’m showing a weekly chart here for XME. What I like about it is that it has cleared above the weekly MAs, and the weekly MAs are starting to turn. Some of the popular stocks in this sector are X, CRS, ATI, FCX, PCU, and BHP, which made a new all-time high on Friday.

OIH (oil services)

OIH took a breather this week. But, it has already caught its weekly upper BB here and is still looking strong with weekly MAs going up in a bullish formation. RIG, DO, SLB, and NOV are on my watchlist.

Exchanges
I made a special mention of this group last Wednesday. I think CME is ready to sail into the $600s. NMX is starting to move up again. After finally breaking $129 this week, it has caught up with its daily upper BB.

Trading Goddess, who posts here sometimes (and, I on her blog) also has a pretty good “shopping list” for Monday that you might want to check out.

Enjoy the rest of your weekend!
HappyTrading! ™