Materials and Tech Close Strong
09/27/2010 10:37 am EST
The action Friday was quite positive—after a minor three-day pullback, stocks closed strong. Two key sector etfs, Materials Select Sector SPDR (NYSEArca: XLB) and Technology Select Sector SPDR (NYSEArca: XLK) performed quite well. XLB formed much higher lows in August before breaking out above its previous highs. The next chart resistance level is at $34 with the upper trading channel in the $35-$35.50 area. There is good support now at $32. XLK also is acting strong, closing on the week’s highs with further resistance at $23.50-$24. There is initial chart support in the $22.30-$50 range.
Tom Aspray, professional trader and analyst, serves as video content editor for MoneyShow.com. The views expressed here are his own.