Markets began the week in pedestrian form, as most pundits were looking for losses near 1% at the open after the tariff chat over the weekend from abroad. Benchmarks did not seem to care as the Dow, Nasdaq, S&P 500 and Russell 2000 all rose modestly between UNCH-.2%. Remember uptrends, or downtrends for that matter, are more likely to persist than reverse and one should keep their own personal opinions in check and focus on PRICE action. All four of the previously mentioned indexes 50 and 200 day SMAs are sloping higher and the chart that I am monitoring the most is the Nasdaq as it traded tightly between the 7600-7700 figures the last 5 days. A move above 7700 negates the bearish engulfing candle from last Thursday and any doubts that a double top from early March is in play. Transports, for all the Dow Theorists, were firm Monday as the IYT flirted with the round 200 figure. The ETF has CLOSED at the top of its weekly range for 5 straight weeks and is now sniffing out a potential 206.83 cup base trigger in a pattern that began the week ending 1/19. All aboard?

Looking at individual sectors Monday leadership was once again a bit suspect with staples showing the way. The XLP is looking to build upon last weeks move of 2.4%, after spending five straight weeks CLOSING below the very round 50 number. It rose .8% today and is above its 50 day SMA for two straight days for the first time since the beginning of February. Lagging Monday were the utilities which usually are attached to the hip of the staples, and technology was a bit soft as the XLK rose a scant .1%. The financials were the only other group to perform worse then technology as the XLF fell by just .2%. Remember the XLF has lost value 5 of the last 7 weeks, but the 2 up weeks were impressive higher by 3.6 and 2.2% the weeks ending 5/11 and 6/8. The market would really appreciate some follow through in this arena as the ETF has not seen back to back up weeks since mid April.

I am certainly no gold bug, and I rarely post or review many of the names in the space. But I am impartial when it comes to charts and this best of breed player below is precisely how it was presented in our Wednesday 6/6 Game Plan. The stock was having issues with the very round 90 number, as it had just one CLOSE above since 9/20/17 on 5/11 and that was immediately followed up by a bearish engulfing candle. Today marked its fifth consecutive CLOSE above the 90 figure, and that included a bounce almost exactly off the number last Thursday with a bearish dark cloud cover candle. The 90 number also aligned with a bullish ascending triangle pattern which since breaking above it now has a measured move to the very round par figure. This chart is glittering good risk/reward, pun intended.

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