• 9 hours 3 Semiconductor Stocks Looking Great On EV Demand
  • 2 days Robinhood’s $40B March IPO Is In Grave Danger
  • 3 days Are Bots Responsible For GameStop’s Massive Runup? 
  • 4 days Learning From Buffett’s $11 Billion Mistake
  • 7 days The Token Boom Spawns Digital Gold Mine in Art, Collectibles
  • 8 days The “Oil Of The Future” Is Set To Soar In 2021
  • 8 days Wealthy Could End Up Footing The Bill For States’ Budget Shortfalls
  • 9 days Could This Be The Hottest Commodity Play Of 2021?
  • 9 days JP Morgan Says Fintech Will Steal The Disruptor Show
  • 11 days Facebook Plays Dirty Down Under
  • 12 days Could This Be The Most Exciting Lithium Play Of 2021?
  • 14 days China Sidelines US As EU’s New Top Trading Partner
  • 16 days 3 Smart Ways To Play the Global Chip Shortage
  • 17 days Flying Taxis Are The Number One Speculative Bull Arena
  • 18 days Ocean Power: The Missing Link
  • 23 days Luxembourg’s Ultra-Secrecy Still Attracts Hundreds Of Billionaires
  • 24 days Robinhood Is Under Fire And Trading ‘Democracy’ Is In Question
  • 25 days Bitcoin Could Be Worth $12 Trillion In The Long-Term
  • 26 days The Biggest Tech IPO Since Uber … For Farmers
  • 28 days The Biggest Boost Yet for the Cannabis Industry
Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

Strong U.S. Dollar Weighs On Blue Chip Earnings

Strong U.S. Dollar Weighs On Blue Chip Earnings

Earnings season is well underway,…

Market Sentiment At Its Lowest In 10 Months

Market Sentiment At Its Lowest In 10 Months

Stocks sold off last week…

TheWaveTrading

TheWaveTrading

TheWaveTrading

My goal is to establish the most likely path that the price of a particular asset will undertake and profit through ETF instruments both on…

Contact Author

  1. Home
  2. Markets
  3. Other

XLE: Carving Out a Falling Wedge?

XLE could be forming a Falling Wedge that would conclude a Zig Zag from the June 2014 high.

For the time being it is just a potential pattern but it is worthwhile to keep an eye on the price action and maybe get involved.

XLE Weekly Chart
Larger Image

If there is a chance that this pattern plays out lets establish few requirements:

  1. It would be preferable that Monday's lod holds (Marking a higher low)
  2. Price has to breach the Resistance 1 located at 56.50
  3. If the wave (IV) of the Falling Wedge were underway it must overlap above 58.74 and fail at the upper trend line. It would mean a rally of 10% +/-

XLE Daily Chart
Larger Image

Curiously enough in the 60 min time frame we can see that XLE if the support at 53 is not breached has a potential Inverted Head & Shoulder which has a measured target at the upper trend line of the assumed wedge.

Maybe there is a potential long set up.

XLE 60-Minute Chart
Larger Image

 

Back to homepage

Leave a comment

Leave a comment