Daily Archives: August 3, 2010

A Look at XLF (by Nathaniel Goodwin)

By -

A couple people have asked about the Colonel recently; and to tell you the truth, I’m not sure how he’s doing. When we traded Ted’s old car for the new one in Mexico; the car salesman told us, “La mala hierba de la suciedad está en el tronco, y la cocaína está en el depósito de gasolina.”

Ted speaks Spanish and said that the man was telling us that we are required to add an ethanol additive to the gasoline before we can legally drive it out of Mexico. The Colonel said, “Don’t worry Cuz; I’ll take care of it tonight, and we’ll roll out of here tomorrow.”

The next morning the Colonel was gone. There was a note on the windshield that said, “I took care of the gas thing Cuz, you’re ready to roll. I have some business to take care of here, see you in NY… The Colonel”

The whole parking lot stunk of gasoline, and I think people were starting to complain. I really couldn’t understand what they were shouting at me, so I hurried up and got out of there as fast as I could. It was a lonely drive home…

I kind of miss the Colonel and hope he gets back soon, the weird noises down the hall really give me the creeps when I’m by myself. I considered asking Stun Gun Jones to move in for a few days, but he refuses to bathe and told me that H&S shampoo has chemicals that make men go bald.

Speaking of H&S, it seems there is a really nice inverted one in XLF. Volume looks nice also.


XLF
 
It could certainly fail though. Here is a .25 box – 2 box reversal P&F chart of XLF. It would be nice to see XLF print at least $15.25 to give a “buy” signal before going long. $15.50 then a pullback towards the neckline would be nice also to go long.


XLFP&F \