Energy Sector

It’s been a tough market to interpret on the daily moves with some things making sense, and to me at least, others not making so much sense in the short-term. But then again, sense is made over the longer-term and confusion is often made in the short-term.

Anyway, one thing we got right was the Energy sector as it made an initial impulsive move off the bottom, consolidated to the moving averages and has now made a new high for the post-low move. Here’s the chart of IYE, which is the vehicle I am using after buying the downside test of the moving averages.

iye

Here is IYE making a potential (not yet activated) bottom vs. SPY.

iye/spy

This is in conjunction with NatGas finally making a solid move today and WTI Crude breaking above the key resistance point of 55.24 (Dec. 2016 high). Here’s the “complex Inverted H&S” (TA speak for multi-shouldered bullish freak show) that we’ve been following in NFTRH, along with the CRB index, which oil is painting bullish as well.

These WTIC charts do not include today’s move of around 2.6%.

wtic

Here’s the monthly chart showing the target of 75 that is loaded as long as this breakout holds and is not some kind of head fake.

wtic

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