Send me real-time posts from this site at my email
Fan Yang

Guggenheim Solar ETF (TAN) Rounding Out a Price Top

Guggenheim Solar ETF (TAN) had a good bullish run in 2017. We have been stalking this fund and anticipating upside towards 25. However, price has found resistance earlier around 22.30, which was a previous resistance as well. You can see this on the daily chart below:

TAN Daily Chart

(click to enlarge)

- We should note that price action in late 2016 throughout 2017 so far has been in consolidation/correction mode. 
- Before 2017, price has been bearish. 
- It has been a significant consolidation, and the bullish pusnh since May could actually be the start of an uptrend. But we should still consider the possibility that it was simply a bullish correction to be faded.
Price Top:
- We can see that 22.30 was resistance in mid-2016 as well. Price action has formed something like a rounded top under 22.30.
- This price top has a neckline around 21. A break below 21 opens up 19-19.40, a critical support/resistance pivot area. 
- If TAN breaks below 19, then, then we might see it push towards the 2016/2017 lows around 16.50. 
- And if TAN is turning bullish, it might not retreat to 19. 20 for example could be a good spot for buyers, especially with the RSI around 40. 

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue