by Steve Auger
I am seeing "red" all around. The markets are looking for QE3 to prop up markets. This will likely happen in the near future and when it does there will be massive short covering - the markets will "pop". Keep this in mind - be bearish but be smart. Don't be overly aggressive or you will get blown out...
iShares DJ US Telecom
ETF Symbol: IYZ
iShares DJ US Technology
ETF Symbol: IYW
iShares DJ Transportation Average
ETF Symbol: IYT
iShares DJ US Basic Materials
ETF Symbol: IYM
DJ US Basic Materials is at a significant support level. Look for a possible bounce this week.
iShares DJ US Consumer Goods
ETF Symbol: IYK
DJ US Consumer Goods had a very bad day Friday, crashing through the support level. This ETF should continue to drop down to the 200 day Simple MOving Average. and support level of $68.60.
iShares DJ US Industrial
ETF Symbol: IYJ
iShares DJ US Healthcare
ETF Symbol: IYH
DJ US Healthcare is near a support level. This ETF will probably bounce here but not far. It will likely continue downward but stay on sidelines for now.
iShares DJ US Financial
ETF Symbol: IYF
DJ US Financial broke through local support and is now approaching a new support level. Trend remains down.
iShares DJ US Energy
ETF Symbol: IYE
DJ US Energy is in a long-term bear market. I have drawn an Andrews Pitchfork on the chart - not one of my favorite indicators, but let's see if the price stays within the pitchfork boundaries. I expect this ETF to continue down.
iShares DJ US Consumer Services
ETF Symbol: IYC
DJ US Consumer Services is at a support level. Aggressive traders should short this ETF at $76.
iShares DJ US Utilities
ETF Symbol: IDU
DJ US Utilities price is bouncing between support and resistance. Stay on the sidelines.
Disclosure: The author "Walks the walk" in addition to "Talking the Talk".