Watching Energy Again
I posted Friday’s loser list as a note. These are stocks that fell on high volume. I find these are great ways of finding bear targets because these stocks will keep showing up on the lost for months and months if a bear move starts. Many have attractive charts.
Crude oil took out a support level today. It’s a high traffic area though. A more serious break will come around the $77 level.
A serious bear move in energy stocks will require that break.
Resistance has also held.
My dream scenario is XLE 0.00%↑ bounces up near $96 this morning and crude continues weakening. I might put on a weekly put trade or a May monthly.
This is a huge week for earnings. MSFT, GOOGL, META and AMZN among the big ones. It’s possible to have a corrective move overwhelm earnings season, if the earnings are uneventful. Otherwise, the market response to these reports will determine the week.