Long “Downside wicks” frequently signal an asset is working on at least a short-term low. The 500 index has created a series of downside wicks at support of late and today falling resistance is being taken out to the upside.
With the 500 breaking resistance and the fewest bulls since March of 2009 at hand, as I shared Sunday, a rally will most likely surprise many investors. This condition should push the Homebuilder ETF (XHB) much higher!
Posted to purchase XHB last Friday morning.