It is certainly no secret that the energy sector of this market has taken quite a punishing with the continued pressure on crude. So the question is, are we about to see a reversal?
Have a look at the chart below with regard to (NYSEARCA:XLE) the energy sector exchange traded fund.
It appears that we have established a double bottom support which may indicate a move higher.
This is technically important because markets always tend to “over react,” and in my professional opinion this time is no different. What this says to me as a trader is now may be the time to be buying the energy sector.