Energy Sector ( XLE )

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The Energy Sector (XLE): Above the 20 DMA ?
Aug 13 ( From TradingView )

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The Situation

On October 22, a Death Cross happened on The Energy Sector ETF ( XLE ). It's simply
a pattern in which the short-term 50-day moving average crosses below the longer-term
200-day moving average and quite a bear sign indeed.( See first chart below )

XLE ETF 20 DMA ( Day Moving Average - Yellow Line - Chart Below ) crossed on J
une 2 below the 50 DMA ( Day Moving Average - Red Line - Chart Below ),
a bad technical sign. Closing price on XLE was 73.23 on July 15.

The XLE reached a new low on August 8 at 66.29: the last time it did
reach that level was on July 24 2012.( See first chart below ).

We are within an upward channel that started on August 6 with
68.60 support and 70.70 as resistance. ( see first chart below )

The XLE ETF closed above the 20 DMA ( Day Moving Average - Yellow Line - Chart Below ) on August 12 then at 69.89,
a good technical sign indeed. Last time the 20 DMA did cross on the upside was on March 25 2015. Closing price on XLE was 70.56 on August 12.

And on a ratio basis ( Energy Sector ETF ( XLE ) over the Mighty SP500 Index ), the Energy Sector started to outperformed since August 6 and the the 7 DMA on that ratio did not turn upward yet.
( See second chart below - Grey Vertical line).

But the most interesting Technical Factor is that, on a relative basis ( Ratio of the Energy Sector ETF( XLE ) over the Mighty SP500 Index ), we reached level last seen in May 2005.
( See second chart below - Ellipses ).

The Energy Sector (XLE): Above the 20 DMA ? $SPY, $SPX, $XLE #Trading #Investing #xle #SP500

RATIO
Energy Sector ETF XLE
over SP500 Index ( Blue Line )
21 DMA ( Amber Line )

SP500 Index ( Candle )

Energy Sector ETF XLE
Daily Candles
20 DMA ( Yellow Line )
50 DMA ( Red Line )

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