Energy Sector Reverses Time To Buy
The energy sector has finally reversed in my opinion and now is a great time to go long energy stocks.
XLE has formed a dirty Bullish Head & Shoulders Bottom.
There are three catalysts that could power energy stocks higher:
When playing the reversal of an entire sector, it’s often better to play an ETF. The reason is that there’s safety in size. Old leaders can fall by the wayside as a new, leaner sector emerges from the ashes. Until new sector leaders emerge, an ETF is a safer way to play a reversal in energy stocks in my opinion.
Source: guerillastocktrading.com/stocks/energy-stocks-reverse/
XLE has formed a dirty Bullish Head & Shoulders Bottom.
There are three catalysts that could power energy stocks higher:
- ECB QE is starting to work
U.S. economy may just improve in the second half of 2015 like the Federal Reserve has been predicting
Number of rigs taken offline in the U.S. is starting to improve the supply/demand ratio
When playing the reversal of an entire sector, it’s often better to play an ETF. The reason is that there’s safety in size. Old leaders can fall by the wayside as a new, leaner sector emerges from the ashes. Until new sector leaders emerge, an ETF is a safer way to play a reversal in energy stocks in my opinion.
Source: guerillastocktrading.com/stocks/energy-stocks-reverse/
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