UTIL Utilities 10-Minute Chart

Utilities are impacting broad market direction currently. As highlighted in prior articles, the 50-week MA and weekly close 15 weeks ago are 2 very important numbers to follow. For this week, the 50-week MA is 491.20-ish and the 15-week look back number is 482.94, thus, call it 491 on the top side and 483 on the bottom side. Bullish market confirmation will occur if UTIL moves above the 50-week MA at 491. Since price is under the 50-week MA currently, the 15-week look back number serves as a trap-door value for markets. Note how price has tested the trap-door twice this week and bounced strongly each time closing the trap-door. The Fed and BOJ are printing money like madmen to prevent the collapse.

For now, UTIL stumbles sideways unwilling to choose a side in this battle. Next week, the 482.94 number is no longer applicable and will be replaced with 477.87 an easier level for bulls to remain above. Bears have a huge chance to push markets strongly lower if they can push UTIL under 483. Bulls win above 491. UTIL must make a decision. Next week the values will be 491-ish on the top side and 478-ish on the bottom side. If UTIL decides to sell off, hurting the broad markets, dropping under 483, and then loses 478, that will lock in substantive broad market downside moving forward. This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here.  Consult your financial advisor before making any investment decision.