XLF, GOOG, NIHD Technical Analysis

Posted by Blain Reinkensmeyer
March 26, 2007 at 9:54 pm

Before I update everyone on the latest stock trading contest I figured I’d throw in a few charts to check out and keep an eye on. The market overall had a nice day comeback today after stumbling early with bad news regarding home sales came out. Tonight I will be taking a look at the tracking fund for the Financial Select Sector Index (XLF), Google (GOOG), and N I I Holdings (NIHD). Let’s jump right in shall we?

The first chart we are looking at here is of the Financial Select Sector Index (XLF). What I like about this chart is how the fund broke through $36 resistance last week, and now has found support there today. The fund closed today at $36.02, and looking ahead I think a buy with a break of $36.50 is plausible, as long as the fund can clear the 50 day moving average as well which sits at $36.59. On the downside support is at the 20 DMA, or the green line, which currently sits at $35.59. For a low risk low volatile trade, keep XLF on your radars. The chart is below:

Next in line is Google (GOOG) which I really think has stabilized nicely in this range of $440-$460. What I like about Google here is the move today and close at $465. Though there is resistance around $468 which is where the 50 DMA currently stands, I think google is a buy in here. You can wait for a nice accumulation day push past $468 to get in, or get in around this range. Either way, support is in the mid $450s, and any strong distribution day close could signal a sell. On the upside $480 is a good 1st target price. Here is the chart:

Last tonight I found NII Holdings (NIHD) to be a great prospect for a potential move in the making. A strong push past $76 on accumulation volume would very well signal a buy on this stock, or if you want to try and steal some shares, there have been a few intraday moves down towards $72 over the last week and a half that have proven to be great buy points. The $72 area is strong support and the uptrending 50 DMA alongside the uptrending MACD trend (at the bottom) are two ncie bullish indicators. Keep a close eye on NIHD, the chart is below: