ETF Trade Ideas

Financial Select Sector SPDR Fund forms bullish "Price Crosses Moving Average" chart pattern
Oct 04, 2018

Trading Central has detected a "Price Crosses Moving Average" chart pattern formed on Financial Select Sector SPDR Fund (XLF:NYSE). This bullish signal indicates that the stock price may rise from the close of $28.14.

Tells Me: The price is generally in an established trend (bullish or bearish) for the time horizon represented by the moving average period (21, 50 or 200 bars).

Moving averages are used to smooth out the volatility or "noise" in the price series, to make it easier to discover the underlying trend. By plotting the average price over the last several bars, the line is less "jerky" than plotting the actual prices. A bullish event is generated when the price crosses above the moving average, and in this state, the price is likely in an established uptrend. The opposite is true when the price crosses below the moving average, triggered a bearish event.

This bullish pattern can be seen on the following chart and was detected by Trading Central proprietary pattern recognition technology.

Price Chart - Financial Select Sector SPDR Fund
About Trade Ideas
Trade ideas are based on Technical Events identified by research provider Trading Central. Every financial instrument is analyzed after every market close to confirm whether a new chart pattern has formed or technical indicator has triggered a signal, giving immediate insight into the possible direction of the price. The analysis is done for you, with full commentary, so you can find out what the price action is telling you.
The ETF Trade Ideas is for informational purposes only. The information contained in the ETF Trade Ideas, including the ETF Trade Ideas service messages, does not constitute advice or recommendation by Trading Central or Interactive Brokers LLC in respect of the investment in financial instruments. Your use of the ETF Trade Ideas service is subject to the Trading Central Terms of Use.

Pricing, historical chart data, real-time and fundamental company data are provided by Morningstar Research Inc.

Technical Event® is a registered trademark of Trading Central.

Trading Central products and services are protected under U.S. Patent Nos.: 6,801,201; 7,469,226; 7,469,238; 7,835,966; and 7,853,506; and corresponding foreign patents.
Interactive Brokers
Interactive Brokers Inc.
One Pickwick Plaza
Greenwich, CT 06830 USA
Trading Central