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Homebuilders ETF ITB looks to be breaking from a multi-year flag/pennant pattern at (1).
Of late it appears the ETF has broken support and has kissed the underside of support as resistance. ITB looks to be creating a pattern very similar to the NYSE index at (1). Most are aware that Homebuilders were downside leaders back in 2007. What this sector to see if it is sending another key message again!
Until the NYSE can break back above resistance, this pattern suggests to add to “inverse positions” up against resistance!