2007-2-27 2007-2-27 SMH is still in a head and shoulder formation. Even though the ETF broke above its 50 day moving average today, the 200 day moving average is still serving as resistance. The left shoulder (September-October) lasted almost two months, so it is certainly acceptable that SMH has made a move higher here (as the right shoulder has only lasted a month so far). As long as the ETF stays below the 200 day moving average we can still assume that the head and shoulder formation stands. Only a sustained break of last Tuesday's high would call the formation into question. A break above 35 would invalidate the likely head and shoulder formation. text/html 88221 http://www.nasdaqwizard.com/MidPics/mid111306.html 1.0 EN index,follow Head and Shoulder Formation Head and Shoulder Formation / Technical Analysis. SMH is still in a head and shoulder formation. Even though the ETF broke above its 50 day moving average today, the 200 day moving average is still serving as resistance. The left shoulder (September-October) lasted almost two months, so it is certainly acceptable that SMH has made a move higher here (as the right shoulder has only lasted a month so far) text