XLE: Watch for break
Updated
See chart above.
With the market pumping and an apparent rotation back into other stocks like tech, etc. the pressure is on for energy stocks.
We are currently in a pennant, hovering on 1 SD from the mean.
Two options here:
#1 Break down from the pennant and thus, break down from 1 SD:
We are going for a mean reversion back to the high to mid-60s.
#2: Hold the pennant and 1 SD as support
We are going back to the top of the pennant in the low 90s.
Watch for the break and/or hold.
The chart is the weekly, longer-term idea.
If we break, I don't like holding short but I will try a small ERY position.
Just my thoughts!
With the market pumping and an apparent rotation back into other stocks like tech, etc. the pressure is on for energy stocks.
We are currently in a pennant, hovering on 1 SD from the mean.
Two options here:
#1 Break down from the pennant and thus, break down from 1 SD:
We are going for a mean reversion back to the high to mid-60s.
#2: Hold the pennant and 1 SD as support
We are going back to the top of the pennant in the low 90s.
Watch for the break and/or hold.
The chart is the weekly, longer-term idea.
If we break, I don't like holding short but I will try a small ERY position.
Just my thoughts!
Note
Alert got triggered for short entry.
So you know what that means, parabolic upside :P.
Starting a small short position here.
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