Sugar in a downward trending channel

The chart of the Sugar etf (SGG) has been trading in a downward trending channel. Friday, the stock was soundly rejected from its upper channel boundary and today the stock gapped lower continuing the trend. We’ll know if this downward trend is to continue if the stock rebounds from around the $52 level. To learn how to play channeling stocks, please scroll below to the Recipes box in the right column and check out “Chocolate Channeling Bars”.