XLE /ERX - Possible long term bottom
We possibly forming a longer term bottom in XLE (ERX is the 3x ETF for XLE).
Yesterday I wasn't able to post the chart I just posted below the last oil chart: I'm going to enter into ERX at the close.
XLE and ERX likes to bottom with a beartrap. When RSI leaves oversold territory it's usually a good sign we are bottoming. In this case we might be printing a longer term intermediate low and a great rally is coming.
New LONG ENTRY : 67.7 $
Yesterday I wasn't able to post the chart I just posted below the last oil chart: I'm going to enter into ERX at the close.
XLE and ERX likes to bottom with a beartrap. When RSI leaves oversold territory it's usually a good sign we are bottoming. In this case we might be printing a longer term intermediate low and a great rally is coming.
New LONG ENTRY : 67.7 $
Comment:
ERX's last year rally was 300%. I think this year it could easily print 200%.
Comment:
It's going to be a long term trade. Minnimum 3 months. Maybe 6 months.
Comment:
If you want to enter now I suggest to enter 50% of the planned position now and wait a little bit with the rest of the position.
There might be one more hit in oil. That's why I'm holding my shorts in oil...
There might be one more hit in oil. That's why I'm holding my shorts in oil...
Comment:
It seems to me they've run the stops below the big volume day's low...
Comment:
Smartmoney might be positioning in oil shares...
The further oil decline will be stopped, if not here than at 47-48$...
The further oil decline will be stopped, if not here than at 47-48$...