IYM: Can a chart be too perfect?

IYM (Basic Materials) has had a nice run and has pretty much the perfect chart.  I've been a holder of this ETF as well as some of the components for a few weeks.

I'll defer to Eric for the next sector in the rotation, but this one may have some gas left.  It has been bumping up against resistance (ie, overhead supply) for the last week, but if it breaks out...

... I get a price target of $43 based on the amplitude of the head and shoulders.  Sell-stop would be the 50 dMA or approximately $33.68.

Strong Performers Hitting Resistance

GLD is trading near the 50 dMA and the lower trendline.  I see no fundamental, technical or sentiment reason to sell at this point.  I continue ot hold the metal but have recently sold half my position in the mining index.

MS moves fast and has been a good trading vehicle, although not as volatile as WFC.  Today I added some near the day's low and expect this to make a run for 30

FCX continues its upward trajectory off a solid base with the next 

resistance level at 45.7.  Materials in general are working off the best developed basing pattern.

IYM has a beautiful base and may be developing an inverted head and shoulders now as it approaches some resistance.  This may take a couple weeks to break out, but with the violent moves, who knows?

SMH is likewise struggling with some overhead supply after a 20% run.  This is due for a pull-back.  I recently took some profits in CY, but will re-enter on any correction.  MRVL also could be a buy with any pull-back.