9 sector and index exchange traded funds looking more bullish

Many sophisticated stock pickers prefer to speculate on exchange traded funds, or ETFs, which track market and industry sector indexes rather than trade individual stocks because they’re less likely to drop sharply when an individual company comes out with disappointing news.

Out of hundreds of ETFs, nine are showing moderately bullish charts and other technicals, but none of those listed here has turned bullish on the critical weekly charts despite today’s almost 3% rally in the stock market.

While nine ETFs have bullish price objectives on their point and figure charts, which are here, only five of them are trading above their important 50-day moving averages—IFN, IWM, IYR, IYT and XHB. Point and figure charts are here.

Note that the India fund, IFN, has just broken out on its point and figure chart.

Four others have bullish price objectives but still are trading below the 50-day moving average—FXI, MDY, QQQQ and XLB.

Considering the volatility of the markets, I think caution is warranted.

For educational purposes only. Investigate before you speculate.

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