Energy Well Rested?
Energy has been a very strong group in recent years, 2023 withstanding, but 2024 picked up where 2021-22 left off. Notice here it is now tied for the best-acting major S&P sector with the communication services group is now breathing down its neck. Perhaps the other groups catching up has given energy the well-deserved breather it needed. Looking at the daily chart of the XLE below it looks like a logical spot for it to bounce here and attempt to travel back to the very round par number in the near term. The WEEKLY chart here shows that the break above the bullish ascending triangle at the very round 90 number still has not met its measured move to 108. The MONTHLY chart has a blemish from April with the bearish shooting star, being rejected at the 100 area. One must look at CVX and XOM when they analyze the ETF and Chevron recorded a bullish hammer candle off the upward-sloping 50-day SMA last Friday after a recent 9-session win streak. Exxon registered a dragonfly doji last Friday (doji Thursday too) and if it can gather some steam a double bottom trigger of 121.86 awaits to add-on.