Buy the Cannons?
With the escalation broadening out in the Middle East, is the old stock market adage meaningful? Looking at the WEEKLY chart below of the ITA this has been delivering all year long. Over the last year period, it has declined on a WEEKLY basis in back-to-back weeks just twice, a very strong showing of consistency. The daily chart Tuesday broke above a 150 bull flag pivot which carries a measured move to 160, and one of just a handful of firm overall groups on a weak tape. GE is the top holding at nearly 20% of the fund and has behaved powerfully since the break above a MONTHLY cup base pivot of 142.60 in April in a base 8 years long. Notice during the last 2 years it has declined just 4 months, an extraordinary feat and it has registered a bullish golden cross. The second largest component in RTX broke above a short cup base trigger of 123.80 not long after a push through a bull flag. Less impactful plays with nice technicals include CW which broke above its own bull flag trigger of 330 which carries a measured move to 370.