Score 9.3 (out of 10): TECHNOLOGY SELECT SECT SPDR poised to seasonally rally by +4.7% during the next 90 days.

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What’s Going On Here?

Have tech stocks made a tradeable low? After a pre-market decline of almost -3%, the stocks finished the day +3%, a reverse of +6%. The downside rejection could be a positive sign. The stats are supporting this.

Why Now?

TECHNOLOGY SELECT SECT SPDR indicates an interesting 90 days seasonal set up. During similar occasions, TECHNOLOGY SELECT SECT SPDR shares had a median return of +4.7% – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for TECHNOLOGY SELECT SECT SPDR received a high score of 9.3 (out of 10). This insight was generated with last price of 152.28.

What’s This Company About?

TECHNOLOGY SELECT SECT SPDR is in the Sector Fund-Technology business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. Ticker symbol: XLK US .

What’s My Risk / Reward and Time Horizon?

We found 90 days to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 159.42 (+4.7%) has been reached. Based on TECHNOLOGY SELECT SECT SPDR’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 146.08 (last price at 152.28), which is equivalent to a -4.1% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

5.2% (February-2022), 4% (February-2021), 7.5% (February-2020), 4.2% (February-2019), 6.2% (February-2018), 5.4% (February-2017), 1.4% (February-2016), 3% (February-2015), 9.2% (February-2014), 0% (February-2013)

Historical Chart:

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Summary:

NameTECHNOLOGY SELECT SECT SPDR
ViewUp
Star (1 to 10)9.3
Target+4.7%
Time90 days
Hist Rate90%

Popular Insights:

INFOSYS has denied that the company is launching a crypto project. But the company continues to expand aggressively in Costa Rico. ‘Wall Street’ analysts’ think the shares will rally +22% over the next 12 months.

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