XLE made a low of $22.89 on March 18, 2020, which is the lowest it has been since 2002. We saw higher highs and higher lows while trading below some previous support around the $26.90-$27.00 has tested the $26.80 numerous times and failed to break the previous support range. The recent gap up and test of the $26.80s again has proven that the XLE has some legs in the short term while respecting and bouncing off intraday lows. A break-through of the previous support ($26.90-$27.00) will prove to be vital to the strength of XLE moving forward. Given the economic conditions, oil is poised for some rebound given demand and the recent activities within the space, and a breakthrough has potential based on the chart.
Comment:
intraday 1-minute ticks breaking the previous resistance and bouncing off $26.99