There is no change in my outlook for the the Retail HLDRs ETF (RTH) right now. The RTH appears to have ratcheted up into a higher trading plateau between 93.00 and 96.00 from 92.00 to 96.00, as the price structure pushes towards a confrontation with a cluster of resistance that is represented by its 9-month down trendline, the declining 200-day moving average, and a 5-month plateau of prior failed rally peaks at 96.00/65. If the RTH hurdles the resistance, then it will unleash the potential of a huge base formation that projects to 102 and then 105. Only a decline that breaks 93.30 will begin to compromise my current outlook.



Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com, a real-time diary of his technical chart analysis and trading alerts on all major markets. For more of Mike Paulenoff, sign up for a free 15-Day trial to his MPTrader Diary by clicking here.