Over the past two years, the ETF has traded in a range of roughly $13 and $17 a share. The sector fund has crossed the midpoint at $15 a share at least 10 times since September 2009, according to the report. [Financial ETFs Lag on Headline Risk]
“This could be a big moment for the beleaguered sector. XLF has been underperforming the S&P 500 since August 2009,” StockCharts.com said, adding that recent relative weakness “is not a good sign.”
The ETF “must hold” at established short-term support at $14.50 a share, and a break below that level “would open the door to support in the $13-$13.50 area,” according to the report. “On the upside, the February trendline and late May high mark an important resistance hurdle. A breakout here would be quite positive and open the door to an assault on the 2010-2011 highs.”
Financial Select Sector SPDR Fund
