Haven’t looked at the XLP diamond in a little while, so let’s take a fresh look. The counter-trend rally has pushed prices well into the diamond, but we’re starting to get repulsion away from the $55 level.
There is no shortage of interesting patterns right now. One of my favorite continues to be the Consumer Staples Select, which is featuring a very handsome diamond reversal pattern. Here you can see it on the long-term chart. I have used the polygon tool in SlopeCharts to highlight it.
It seems an eerily quiet day with not much to say – – perhaps tomorrow morning’s job report will shake things up – – so I’ll just share this chart of CBS, which I think has created a beautifully well-formed diamond reversal pattern.
Having looked at millions of charts over the years, my eyes have become pretty good at spotting patterns, including those that would be invisible to saner people. One example is Eastman Chemical, which is sporting what I consider a pretty impressive diamond reversal pattern: