If I wasn't half LOCO, I would say this sector is near finito! New high above $30 was NOT accompanied by a higher MACD as you can see nor RSI !!
And I also observe potential weak right shoulder of a H and S formation from the '05 high. It appears the 20WK and 50 WK EMA are now going to act as resistance and drag this thing down!
Since breakout in 03 the 20WK has stayed above 50WK and they moved as one.We'll know more if and when 20 moves thru the 50 and they both dance downward.
I like the weekly charts as it lets you step back and see THE trend and how the shorter term is acting against it.
You could have stayed with trend from '03 breakout and exited when lower MACD appeared along with 05 new high.
WHat does this say for housing and economy? TOPPED OUT IMHO.....damn good chance......
Duratek
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