(Click On Chart To Enlarge)
The good news is that, although XING violated the up trendline in the monthly chart during November, it hung on for a monthly close above it, so the long-term uptrend remains in tact (see monthly chart in last weekend's post below). The slope of the up trendline rises $0.12 per month, so we move the chains for December, and that trendline comes in this month at $8.18.
The bad news is that, although there's a "possible" Double Bottom in place (7.65 - 7.81 lows) seen in the first chart, since late October XING has broken below three patterns listed in the upper right corner of the second chart, all of which have downside targets in the $6s IN PLAY.
Coming off the recent 7.81 low, XING has put in a weak Bear Flag rally (pattern in purple in the second chart), back to the bottom rung of resistance, at 8.82. The was The Head of the "possible" Bullish Inverse Head & Shoulders pattern (green circles) that failed, and it's now resistance. Last week's Bear Flag rally got only to 8.74 and on Friday, XING finished out the week with a failure at the top of the Bear Flag on a Bearish Inverted Hangman. The top of the Bear Flag comes in on Monday, December 3, at 8.82 exactly. Very short-term, that's the number to beat for XING to turn from bearish to neutral.
Above 8.82, there isn't a lot of resistance, so if XING can take out the Bear Flag to the upside, that would suggest a rally to the down sloping neckline which currently is in the low $9.90s, and possibly higher from there if XING can capitalize on the November closing basis hold of the monthly up trendline, and stop acting short-to-intermediate-term bearish here.
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