Last week I outlined the similarity in the ramp of the $XLU in 2013 with the current run. Similar channel, price action, timing, you name it. In 2013 this run was followed by a sudden and very steep correction in the May/June time frame. This week we got puts on the lower high which are reacting very nicely to the sudden drop. Will the channel break soon in similar fashion?
I’m curious to find out:
Categories: Daily Market Brief