The chart of the S&P futures divided by brent oil futures looks like it wants to run.
The question then becomes, if this breaks to the upside, that means the S&P is either gaining or retaining value better than oil. In the event of a market meltdown, it seems that oil would take a bad hit. In the case of a bull rally, then the S&P would be gaining faster than...
XLE (US Energy Sectors) increase 3.19% second best to Finance Sector (XLF +3.44%)
XLE chart appear to be at support. Last friday rally is the best since 9 June sell-off.
BRENT retesting Resistance numerous time.
Is O&G related stock ready to move ?
Stock to watch SerbaDK, Dialog, Hibiscus ?
Keeping an eye on Brent here. Horizontal resistance at around $33.50 currently. A breakout could potentially target $44.50. Alternatively, we could see rejection at around $33.50 where oil could pullback slightly. We wait for confirmation either way.