I am thinking about buying ERX the 3x energy etf into my mid/longterm portfolio. Also a little late already, however, on a 1-2 years horizon i think there are good gains to be made.
ERX looks like it completed a bottoming pattern similar to an inverse H&S with increasing volume. It has closed over the 50 day MA for three straight days, and the 10 day MA should close over the 50 day MA today as well. These will both be firsts since it has been searching for a bottom. Momentum is picking up as it sits at a major long term inflection point.
With WTIC moving higher the OIL sector stocks are finally starting to react. GUSH and ERX both looks promising here. GUSH had a big day up over 10%. ERX I am looking to go long with a move over the 50sma. Tomorrow may be a buy.
Are you looking for an Energy Sector Bull ETF? This might be the one, because noted bear trend run has came down from $44 to $24. MACD is crossing and purple noted BEAR trend line (still has not been broken), which would be a 100% confirmation. Last noted candlestick was around $2.00 (green).
You might want to look into this ETF, especially if SPY 500 does an...
Also took some ERX with the close at 32.54. I see a potential rebound in energy stocks this year since expectations are fairly low and therefore easy to beat. After that little longer shakeout there could also be enough traders whoe want to step back in
ERX (Direxion Daily Energy Bull 3x Shares) and XLE (Energy Select Sector SPDR ETF)
ERX: The Fund seeks daily investment results of 300% of the performance of the Energy Select Sector Index.
ELX :The Fund seeks to provide investors with a low-cost "passive" approach for investing in a portfolio of equity securities of firms as represented by the Energy Select...
Oil was rallying yesterday and today. Stocks were in pullback mode. As oil holding its highs and stocks their daily cycle lows I think there is a decent chance that ERX printed the daily cycle low 3 days ago. It broke out of the descending channel tested back and heading to new highs.
I'm writing this before market close so all who not positioned in oil or oil...
