With Uber pricing near the bottom of its range last night, all eyes are on how it performs this morning. But investors might also take note that technology stocks are at a key technical level. And as tech goes, so may go the market, according to All Star Charts Institutional’s Top 10 Charts of the Week.
“Technology and Discretionary have been the strongest sectors again in 2019. Not only have they led all sectors off the December lows, but they also eclipsed their all-time highs from 2018,” All Start Charts Institutional wrote in a client note. “Now that both Large Cap Sector SPDRs are back at their prior highs, we want to be watching these charts closely to see if buyers step in at these former resistance levels. The market tends to follow the leaders, so weakness in these areas, which we can measure with a break below these highs, can be a powerful signal for Equities more broadly. Similar to the setup in Bonds a few weeks ago, there is a tactical trade opportunity here as risk is very well-defined at these critical levels, allowing us to know quickly if we are wrong.”
Read the full Top 10 Charts of the Week here. For information about how to subscribe and receive the charts Wednesday, two days before they are published on IPO Edge, contact All Start Charts Institutional Sales.