The weekly chart of XHB (homebuilder ETF) below indicates that it is still in a clear, overall uptrend.
However, note the bearish MACD cross (bottom pane), and the bearish RSI divergence to price (top pane) since autumn. Also consider the broadening weekly chart pattern since September of higher highs, but lower lows. After a prior established uptrend, that pattern tends to be a shot across the bow warning of bears gaining more traction on price.
Plenty of perpetual bears on Twitter and in the financial media have called top after top to the homebuilders over the past year, all to no avail. This time around, though, their broken clocks might actually be right.Facebook page