Into the Night

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Well, I had pulled together a bunch of ETFs, nice and neat, to talk about them, but out of the clear blue sky some kind of rumors about the deal terms of the long-awaited China/US agreement are flying around, the equities are zipping northward again.

Our colleagues over at ZH are throwing cold water all over these headlines, saying there’s nothing to it, but I see double digit gains on ES and NQ, and I’d be flabbergasted not to wake up to the same. But since I went to the trouble of gathering up these ETFs, I might as well share them and say a few words on each.

This China news could send the diamonds ripping right over that horizontal
Emerging markets haven’t hit resistance yet (the grey line above the price bars)
The bold (or crazy) might consider the triple-bearish on energy fund
Mexico looks vulnerable to a downside reversal
Rising interest rates should cause home construction to weaken
Small caps look more vulnerable than larger cap indexes
Dow Transports mashed up against Bollinger; more prone to weakness than Industrials
Bank indexes have been on a tear lately; nearing exhaustion
Materials sector very close to major resistance; crossing above very bullish
Energy has risen to the point where it’s shortable again
A cross above the horizontal would be extremely bullish for market overall
This is the third major attempt for energy to cross its horizontal; watch Wednesday closely
Retail one of the most vulnerable sectors; ultimately looking for a break below horizontal beneath present price levels
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