Software testing breakout level today. Many breakouts are doing this today. $IGV $QQQ pic.twitter.com/2bH5MQYDOq
— Matthew Timpane, CMT (@mtimpane) July 1, 2021
Today’s Chart of the Day was shared by Matthew Timpane (@mtimpane). It’s a daily candlestick chart of the Software ETF, $IGV, since the March 2020 low. The top-weighted stocks in this ETF include giants like $ADBE, $MSFT, $CRM, $ORCL, and $INTU. This ETF broke out last week and is currently retesting the breakout level around $380-$390. Matthew adds that several other Tech-related ETFs are also retesting their recent breakout levels including, the Semiconductor ETF, $SMH, and the Cybersecurity ETF, $CIBR. It’s perfectly normal to see price throwback like this after a decisive breakout. But, if price fails to hold above the breakout level, things could turn ugly quickly. So, keep an eye on how these retests play out in the near term.