There is some very interesting action occurring in the Consumer Staples Sector. The XLPs have been in a steady well-defined uptrend since the later part of 2009. After trending lower for the past four weeks, they are testing the uptrend line. This may be a sign that after seven years the uptrend may be coming to an end.
Remember that there is nothing magical or mysterious about trendlines. They are merely a graphical picture of who is in control...the forces of supply or demand...as time passes. Prices are always doing one of three things - going up, going down, or staying the same. This is what trendlines show.