Vanguard Value ETF
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מעודכן

At some point Value will stage a comeback...is now the time?

It's hard not to look at this monthly chart of Value (VTV) vs. Growth (VUG) and not see a possible LT double bottom in the works.

There is no doubt growth stocks have been the winner for a very long time; certainly over the last 25-30 years and perhaps even more one might argue. At this point it seems like value is dead OR will it stage a huge comeback?

Because I cannot unsee this chart as a double bottom I have been looking for an entry to go long VTV and short VUG and today is the day for a possible reversal.

When I drill down into the daily chart; today's candle cuts right through the middle of the Tenkan Sen (red line). This indicates a very strong bullish reversal BUT it must follow thru with continued bullish price action. Therefore it cannot close below this line within the next week.
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In addition, the monthly closing must be back above the dotted pink line (or .4374). This would indicate a breakdown failure and if this is the case price action should reverse course strongly in the opposite direction; in this case UP.
הערה
I closed out this trade today for a 7.4% gain. Reasoning for the close out: we bullishly closed yesterday above the 50% retracement yesterday (the dotted lines on the below chart is the 50% retracement) but today we closed below so it could not hold the bullishness. This is just a rule I have when I bottom pick...HOWEVER I will get back in this trade if and only if we can close above the dotted line on this chart and stay above it on the daily.
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