Health Care Sector Update for 06.29.2008

SELECT SECTOR SPDR HEALTH CARE SECTOR ETF - XLV

Monthly chart shows price now below the key LIS and January 2000 high of $32.94. Bears came out in force during the month of June 2008, and erased what little gains were made since the low of March 2008. No buy signal/pattern evident on this timeframe.

Weekly chart shows price below the resistance of a smaller key LIS at $32.00. While the lower low was made with slight regular divergence, there is no buy signal/pattern evident on this timeframe.

Daily chart shows bears gapped down the open with Friday's trading session, as they rushed to the exits, in their haste to sell their positions. There is regular divergence noted on this move down. Perhaps the consolidation pattern is not fully complete. Once the consolidation pattern is completed, I would expect lower low to be made.