Connect with us

Hi, what are you looking for?


Pro: buy energy stocks as they’re holding a key trend line

“XLE” – the Energy Select Sector SPDR Fund is coming alive again after OPEC+ announced plans of cutting oil production by 2 million barrels a day from November.

But Carter Worth – the Chief Executive of Worth Charting has another strong reason to be long energy stocks.

Technicals are flashing a buy signal as well

Interestingly, it’s not “just” the fundamentals that are flashing a buy signal on the energy ETF; technicals actually suggest the same. On CNBC’s “The Exchange”, Worth said:

Sometimes, it’s just about trend lines. XLE touched down to the penny to a trend line that’s been in effect for two years and bounced perfectly. Every single time the sector has touched down that uptrend line for two years, it’s bounced.

Energy stocks are currently down more than 10% from their year-to-date high.

What Worth likes in terms of individual stocks

Lucrative dividend yield is another convincing reason to be exposed to this space.

In terms of individual stock picks within “energy”, Worth also likes the ever-so-famous Cheniere Energy Inc (NYSEAMERICAN: LNG) that’s up nearly 70% already for the year. Still, he said:

LNG is better than XLE while drillers are not as good. It’s ever ascending and never gets parabolic. It’s as orderly as something like United Healthcare. So, stay long, be long.

A day earlier, Invezz reported that Rob Thummel (Tortoise Capital) also recommends buying Cheniere stock as it’s not out of juice yet. It’s a name that feeds right into increased LNG exports from the U.S. to Europe.

The post Pro: buy energy stocks as they’re holding a key trend line appeared first on Invezz.

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like


    Inflation appears to be on the decline. The Personal Consumption Expenditures Price Index (PCEPI), which is the Federal Reserve’s preferred measure of inflation, grew...


    Solana (SOL/USD) is enormously underrated as a cryptocurrency project, even with its hiccups – including the latest exploit on one of the ecosystem apps....

    Editor's Pick

    The new eSIM infrastructure will help modernise the IoT connectivity market with fast, secure connections and reduced vendor lock-in. 1oT, a tech startup from...


    The latest Job Openings and Labor Turnover Survey from the Bureau of Labor Statistics shows the total number of job openings in the economy...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2023