XLE trade ideas
XLE - Bearish Inside Bar Pin Bar Fake OutAn inside bar / pin bar fake out pattern has formed on the XLE weekly chart. This pattern has formed just below a key resistance level as well as the 50% retracement of the last swing high/low, which is exactly the area we want to see this form. One negative with this setup is that price has formed a very sharp v-shaped reversal off it's lows. That doesn't mean that the pattern is untradable but it does mean any trades taken here need to be aggressively defended, and profit targets not be too aggressive.
Bearish DiveregenceReverse bearish divergence with recent bearish divergence. Price target is .618 of recent run up.
XLE Another Short ContenderXLE Similar pattern as SPY just at a steeper angle.
Has more downside than SPY.
Another solid contender for put options off of the pattern backtest.
XLE possibly bullishI believe we are in a long-term, deflationary bear market. Trading has been choppy and difficult.
However, many charts are reacting bullishly to yesterday's comments by Powell. It may be time for a "risk-on" rally and some low-risk trades might be available.
Here, energy stocks are showing a slight break from a descending wedge.
The MACD and RSI are showing divergence during the drawdown. XLE and Oil are both oversold.
The stochastic is just starting to rise.
I would consider buying a small GUSH (3x) position on an intraday pullback, targetting the 50ma.
XLE correction in progressAfter 5 waves down XLE is correcting, as it should. It seems we are in C wave up, good shorting opportunity is approaching.
Long XLEWith oil bouncing next week potentially, XLE is likely to bounce. Plus XLE held support very well this week although oil crashed. Long to the upper channel.
Short XLE (After next week's potential bounce)XLE has broken triangle formation. Expect it to retest the bottom trendline before further down. Short it if the retest fails to go above TL.
My OB/OS indicator has reached to the previous low level. Trade the bounce intraday or 2-3 days short term. Then resume the downside, expect it to break the previous low in my indicator.
LT TP: 41
xle wkly chart, can it hold 66? If no, the next leg down is 6266 seems to be multiple bottom for wkly chart
XLE Swing EntryGood setup for $XLE swing entry around $70, first target ~$73 with the eventual target hitting the upper line of the downtrend channel.
XLE Move is not doneWe all know the Iran sanction hit on NOV 1. It is most likely we at least tag if not breakout the prior highs. Strong demand for crude globally.
XLE bullish weekly setupI am expecting XLE to contest 95 Q2 2019. With the weekly flag and early signs of push beginning I expect this sector to continue to strengthen and be a much stronger pick next year.
XLE Bullish Credit SpreadNew Bullish Credit Spread on XLE . Expecting to see a push for $75.59 resistance by EoW.
Entry 75.11.
Break Even 74.73.
1:1 r/r
XLE Ascending Triangle breakout.A close above 79 would lead to a breakout. Supporting this theory is rising inflation and a more dovish Fed. Recently Fed Governor James Bullard stated “If it was just me I’d stand pat where we are and I’d try to react to data as it comes in,”. More thank likely we will see more members of the Fed turn into doves as the year nears end. Which should create a bull run in the energy sector and commodities.
XLE - Energy Sector About to Poop Itself or No?The energy sector has been performing badly over recent months, but not as bad as basic materials sector. Specifically leading the problem in the energy sector are oil & gas drilling, oil & gas exploration and production, oil & gas refining and marketing, oil-related service and equipment, renewable energy equipment & services, and uranium industries. These industries are making new lows over the past month and over the past quarter.
It is quite early, but this should be on the radar for a potential shorting opportunity. If truly the beginning of a downward move, a further break of the support level around $72 would be a confirmation, and this should be expected within the next 2-4 months (pretty much from October - December, or even January) . Also, the idea of the downtrend could potentially be a recovery for a possible uptrend if the resistance levels around $76 and $78 are tested and broken.
The financial sector was also showing some milder weakness but more time is needed to tell how the sector is behaving. Watch the energy sector; what do you guys think?
