You see on actions of crude oil prices, Energy ETF (XLE) and Oil & Gas Exploration ETF (XOP) within the last three years below.
Whether shares the assumption on the following big step in crude oil can be Energetically again? What direction they assume?
At this time a medium-term trend in crude oil ascending, the same rallies was also last year, creating series of the raising minima and maxima. From last maxima of 2014, oil to remain at lower levels.
The most part of time since 2014, XLE and XOP reached the peak or a bottom “before” crude oil! In the last XLE and XOP negatively dispersed against crude oil, creating a number of lower maxima.
Oil can create the inverse bull head and shoulders. Perhaps, it is the reason that traders on crude oil, established the biggest bull trade in its history. The last time bull the rate on crude oil was so high, was on maxima in 2014.
Whether can give XLE and XOP false signals this time? Whether results will differ this time. I submissively feel crude oil can be one of most if not the most important goods in the world. In what direction oil borrows from the narrow / side drawing recently, will have a great influence on a construction portfolio in numerous sector.