As you can see on the 60 minute chart overhead resistance is about $72.80. I'm going to need to see some resolution to this pattern before I start buying and others would be advised to do the same.
Monday, March 06, 2017
This Is A Critical Time For Energy (XLE)
I posted a sell on Energy ETF XLE at the end of December not thinking that it would play out like this, but sure enough we've test MA(144). "Surely there would be a bounce," I said to myself. We are currently in a cute tight little channel that looks imminently ready to test the upper resistance line of this channel and then I read that isn't Russia cutting back on oil production. Doubt has now permeated my thinking instead of looking objectively at the fundamentals. Four days ago my favorite momentum indicator entered signaled a "long/buy," but on reviewing the 60 minute chart I've noticed a very large declining triangle which often breaks to the downside and so I have held back issuing a "long/buy" on XLE.