Chart of the Day - Monday, June 10, 2024
June 10, 2024
🏆 Today’s Chart of the Day was shared by Steve Strazza (@sstrazza).
- While Semiconductors have gained weight within the Technology sector this year, other areas of Tech have lost momentum.
- Cybersecurity ($IHAK), Internet ($FDN), and Software stocks ($IGV) have rolled over since the end of last year. These bearish topping patterns have had plenty of time to work lower, but price has refused to break down.
- Steve points out that these topping patterns are failing. As we know, Failed Tops are often incredibly bullish.
The takeaway: Several popular Tech ETFs have rolled over since the end of last year. These topping patterns *should* be bearish, but they’re starting to resolve higher instead. It’s often bullish when bearish patterns fail.