XLE
XOM vs XLEwe know XOM is the largest and best integrated in the business. However, last couple weeks it has heavily under performed the XLE. Lets look for a convergence in price.
Long XOM and short XLE in a 1:1 ratio.
(I'm still learning how to properly match volatility in pairs trades but I think this should be ok)
FYI not real money just recording it here for learning purposes
GUSHLooks like the energy sector is starting its next cycle move higher. The gold candles represent the last move starting around January. Energy sector runs in 30-50 day cycles. This could be a good move higher for a while.
UWTIUSOIL has been moving lower, so where is a good spot to enter? Look at the attached chart. I see a possible double bottom at or around $13.73. I have an alert here, if it hits I'll look closer. I bet it hits. I also have several other USOIL charts, all look for lower prices below $40.
USOIL bearish divergence and rally exhaustionAfter this massive run in oil we are beginning to see bearish divergence on the 1 and 4 hr MACD and momentum as well as price action making a double top around 46.76. Can see a pullback to 44 or lower before resuming uptrend or more downwards momentum towards the high 30s if we break support.
Oil reached daily resistance zone After last week's False Break below the 200 days MA line, Oil continues its rally and reached an interesting Resistance Zone that will be tested this week (probably tomorrow with Inventories data).
The Resistance Zone includes the Fast SMA line (yellow), structure zone (43$) and two two trend lines of a falling wedge pattern that was broken to the downside (now should act as resistance).
Potential pullback towards 41$ is the bearish trading scenario.
A breakout above 44$ will probably send Oil higher to re-test the 45$ resistance zone
b]
Tomer Jakov, The MarketZone
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Oil reaches final target zone - Hitting 200 days MA lineOil hits the final target zone of my previous bearish setup (bearish AB=CD and rising Wedge pattern).
Now 200 days MA line is being tested along with weekly structure zone.
Interesting potential Buy Zone that can lead Oil towards 46$ again.
Tomer J, The MarketZone
www.themarketzone.net
UPDATE ON ENERGY FUNDS/XLE - HUGE OPPORTUNITY COMINGUPDATE ON LAST RELATED IDEA; XLE/ENERGY STOCKS/OIL/CANADIAN DOLLAR
PLEASE NOTE TIMING FOR OIL'S POTENTIAL BOTTOM/TRAJECTORY
XLE: Potential short setupXLE is right at an 8 month level, and about to hit a key level resistance, so I'd like to get short with a wide stop loss speculating on confirmation of the downtrend continuation in the monthly. You can see the 50% speed line of the recent decline on chart, which would be good to see price respect to stay short or enter shorts here.
Volatility is high, so stick with the 3 ATR stop on chart.
Check out my updated track record here: pastebin.com
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Cheers!
Ivan Labrie
Link to Tim West's chatroom: www.tradingview.com
We discuss setups like this often there. Feel free to stop by and subscribe to his indicator pack. If you have any questions ask.
Risk disclaimer: My analysis is provided as general market commentary and does not constitute investment advice. I will not accept liability for any loss or damage including, without limitation, to any loss of profit which may arise directly or indirectly from use of or reliance on such information.
"Crude Update" $CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $UCO $CVX Time is early right now....At the "Area Of Interest" ....
Any failure below 43.67 on a closing basis triggers a possible attack at the 41-39 area.
"CRUDE WAVE" $CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $CVX $XOM CRUDE has higher targets possibly on its agenda.
Holding the contained market structure will allow for the next thrust.
XLE - ENERGY SELECT SECTOR SHORT SETUPThe price is now in a strong resistance area, the previous neckline in H&S pattern. Pay attention to the price action for shorting opportunities. Possible target a confluence area around 61$ level. Risk reward ratio 3,5.
"UPDATE STATUS IN ENERGY" $CL_F $USO $DWTI $UWTI $Oil $XLE $DTO CRUDE FOUND BALANCE AND WAS MET WITH SELLERS AT THE HIGH....
WATCH FOR AREA AT 41.80 -40.00 FOR A POSSIBLE LAUNCH TO RETEST THE HIGHS...
WE NEED TO CLEAR THE AREA OF RESISTANCE TO ACT THE $55 MAGNET AREA.
ANY FAILURE WILL SEND THIS BACK DOWN TO THE LOWER BASE
Amadeo Ratio 4/22/2016The chances of it going down is much greater than the chances of it going up. We need to watch the lines.
"TAKE A STEP BACK "$CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $UCO IT IS ALWAYS GOOD TO TAKE A STEP BACK
AND LOOK AND THE HIGHER TIME FRAME
THE INTRADAY SWINGS CAN GIVE CONFUSION IF YOUR CONTEXT
ISNT FOCUSED
$CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $UCO " BIGGER PICTURE' PRICE CAME BACK TO THE "ZONE OF INFLUENCE"
DOUBLE TOPPED AND THEN PANIC FLUSHED THE WEEK HANDS
BEFORE ITS REAL AGENDA.
"SWING UPDATE" $CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $UCO $XOMPRICE PANIC FLUSHS
HITS POTENTIAL SUPPORT.
FORMS INSIDE BAR
THRUSTS UP
THEN RETEST.
"STUDY THIS ..OVER AND OVER AGAIN
"CRUDE FOLLOWUP" $CL_F $USO $DWTI $UWTI $Oil $XLE $DTO $UCO TIME CAME IN AND PANIC SOLD DOWN TO SUPPORT.
TO CONINUE THE ADVANCE WE NEED TO STAY ABOVE BOTH PIVOTS
OR A SIDEWAYS RANGE WILL POSSIBLY DEVELOP MORE IT SHOWS IT AGENDA.
