ChartSmarter Thursday Game Plan 9/1/16

Indexes put in another lukewarm late rally and the longer the bears fail to break down this market, the better for the bulls. Consolidations remember do tend to break out in this direction which they came from. There certainly was a feeling or risk off Wednesday as the materials and energy group were the 2 worst performers on the session with the XLB dropping .9% and the XLE losing 1.6%. Conversely the 2 best acting sectors today were your traditional defensive ones with the utilities and staples the only major S&P sectors to advance today. The XLU rose by .4% and the XLP gained .2%. Clever bulls always wonder where the next setback may emanate from and manage risk. Of course their is no need to get off the train yet, as price action has not told one too, but charts like WHR are to be monitored. It has now lost its 181.11 double bottom trigger taken out on 7/20 and is now underneath its 50 day SMA. On the weekly chart as markets just interrupted a nice weekly winning streak last week, WHR is looking at a potential fifth consecutive weekly decline lower by 1.3% thus far this week. The last 4 weeks have all CLOSED in the lower half of their weekly ranges falling a modest combined 6%. Another homebuilder periphery play LZB is looking at a possible fourth weekly decline in a row after it broke below a very tight 3 week period with the weeks ending between 7/29-8/12 all finishing within just .16 right at the round 30 number.