Healthcare sector re-accumulation?As chart says, I'm looking at a possible re-accumulation. Trigger would be if PA resembles the green squiggly line.
S5HLTH trade ideas
$SP:S5HLTH Could Be Ready For a Reversal to the Downside The S&P 500 Healthcare Sector broke last weeks high and is now just under the Ichimoku Cloud on the Daily. Flying way above 2023’s High of 1594.66, MACD is still negative and RSI a bullish 53.23. Golden Fib retrace showing strong resistance at 1683.59. If we get a rejection below the week open price of 1644.39, we could see further correction rejecting last months low of 1610.67. Shorts on the weakest companies in the sector like NASDAQ:APLS could return solid gains.
S&P 500 Healthcare Channel evaluationS5HLTH is the S&P 500 Heakthcare Sector. It comprises of all the biggest boys in the health and pharma industry.
This sector's price action (as for the S&P as a whole) runs between the top and bottom channels on both daily and weekly charts. This is in line with the current world situation where Healthcare products and development have been highly in demand due to Covid pandemic.
Caution: We may see a bit of a down trend in the next days/weeks in this sector as the price action has reached an all time high on the daily chart. It then lost some of its momentum. Price action is currently into a lower high and the 50MA is descending (Green trend line). This could induce a reversal in the trend until the price hits the bottom of the channel and reverses back again into an uptrend. It could also break through the bottom of the channel and go into a downtrend. This would not be surprising. The pandemic is slowly weakening and should be ending soon. The demand in Covid related products will hence be reduced.
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S5HLTH bounce off the support lineafter big retracement, setting the buy order above the support line.
1R = ATR , P:L = 1:2
All sectors in a weekly graphStill no signs of an imminent crisis, although Telecommunications SP:S5TELS sector is going in a descending triangle. Could it trigger the inversion?
Gold and Silver NASDAQ:XAU , in the meantime, broke an important support.
