UTIL Utilities Weekly Chart; Overbot; Negative Divergence; Upper Band Violation; Price Extended

Utilities are cooked; stick a fork in them. UTIL prints a new all-time record high at 1071.41. As price moves higher and higher, however, the chart indicators slope lower. They are completely out of gas and can no longer take price higher; negative divergence. The RSI and stochastics are overbot requiring a pullback. Ditto the upper band violation. Ditto the price extension above the moving average ribbon.

UTIL will receive the neggie d spankdown and begin a multi-week down move. The UTIL daily chart is also in negative divergence so the top is in on both the daily and weekly bases. Utilities are toast going forward on the weekly basis.

Utes receive the huge push higher due to the AI hype. Artificial Intelligence has huge power requirements that will have to be provided by the utilities that should in turn make big profits in the future. Good luck with that reasoning. Modern-man does not focus on utilities providing power to poor and underdeveloped nations, or even to remote locations in the United States, but when it comes to AI, the greedy humans shout for more power. A chatbot answer is more important than feeding a human.

Anyhoo, Keystone heard a couple of analysts calling a top in utes 2 and 3 weeks ago. They were partially correct since utes slipped lower but now recovered all those losses and prints a higher high. The daily chart did top out with neggie d, and the weekly chart also, sans the MACD line that was still long and strong (green bar). This told you that utes would receive a smackdown on the daily and weekly basis, but after a few days or week or so, price would want to come back up to print a higher high due to the MACD on the weekly that still had gas in the tank. Voila, price comes up as described.

And now the weekly chart tops-out with all the chart indicators in neggie d. Are you starting to get the hang of divergence trading? The Keystone Speculator is the father of divergence trading. It allows you to call tops and bottoms in the market while the Wall Street *ssholes say it is impossible. They say that because they want you to send your money to them for their funds and trading. Calling tops and bottoms is all that Keystone has done for the last 20 years; why would anyone trade any other way? Think of technical stock trading as playing multi-dimensional chess only the time frames are the dimensions not the vertical physical space.

So all of you folks invested in utilities, and talking heads are cheerleading utes right now, should git outta Dodge and git while the gittin' is good. Take your profits and move on. In November, UTIL will likely be in the 1000-1030 range and perhaps far lower. It is not Complicated. Keystone does not hold any utes long or short currently but obviously the play is short for the next few weeks probably into Turkey Day. 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.

Note Added Friday Morning, 10/25/24, at 5:00 AM EST: UTIL prints a new all-time high yesterday at 1074 and then falls on its sword down to 1063. The neggie d spankdown should begin now.

Note Added Wednesday Morning, 10/30/24, at 7:47 AM EST: UTIL drop to 1031. Spank, spank, you've been a very naughty girl.

Note Added Friday, 11/1/24: UTIL 1019. The spanking will continue until moral improves.

Note Added Monday, 11/4/24: UTIL 1011. The LOD is 1004. Now you can see the power of a neggie d spankdown. Keystone is the Father of Divergence Trading.