Wealth Creation Through Natural Resources
Something we have been noticing for the last week is the significant divergence between energy stocks and crude oil. Technician and fund manager J.C. Parets is all over it today with his premium “Chart of the Week” post. Here is … Continued
WTI crude oil has nearly doubled from its February low, meanwhile the performance of oil stocks has begun to lag noticeably: There are many reasons for this phenomenon, and many reasons why the oil/oil stock divergence has widened significantly … Continued
A large institutional trader decided today was a good time to put on a large and slightly complex options trade in the XLE (Energy Select Sector ETF ). This options trade which is called a risk reversal involved buying 30,000 … Continued
Gold and energy equity ETFs formed bullish engulfing candlesticks during today’s trading session after printing bullish hammer reversal candlesticks yesterday: GDX (Daily) OIH (Daily) The backtest results for a bullish engulfing candlestick in OIH are especially impressive … Continued
A clean break of support in the energy sector today as OPEC disappointed on Friday and institutions liquidate losing positions into year end: XLE (Daily) The volume and velocity of the recent decline is particularly significant – the August … Continued
Energy stocks have been in a steady downtrend for more than 2 months. Today investors received the strongest indication yet that a reversal might be at hand with the two largest energy sector ETFs (OIH and XLE) both printing large … Continued
At the beginning of May we pointed out that energy stocks were set for a pullback. Now after dribbling lower for the last month it’s time to get back into energy equities: A large bullish outside reversal following this … Continued
We have been cautious and calling for a pullback in energy stocks for a couple of weeks. Like clockwork, a 3-5% correction in the majority of energy names has since come to fruition. However, it might be time to begin adding … Continued
After being absolutely crushed during the 2nd half of 2014, thus far energy stocks are one of the best performing sectors in 2015. However, that may be about to change as a number of technical factors indicate that the 2015 energy … Continued
