Same Old Story:

For the last 5 months, not such a small sample size, software has outshined the semis. Perhaps that may change with a stellar AMD report Tuesday after the bell, but remember once trends get started they are more likely to resume than reverse. The WEEKLY chart below shows the powerful 3-week tight pattern with the last 3 weeks all CLOSING within just .62 of each other and that is after a double bottom breakout. There may be some pushback near the very round par number in the short term but this fund should power higher into year-end. There are things to like on the daily chart with the break above the bull flag aligning with the very round 90 number and it is for the moment brushing off the bearish gravestone doji candle from 10/25 and the spinning top and then the bearish engulfing candle on 10/14-15. On the MONTHLY chart, the bull flag breakout above 89 is still well intact and carries a measured move to 131.

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