Energy's Short Squeeze Setup 📈 The Chart Report
Chart of the Day
🏆 Today's Chart of the Day was shared by SubuTrade.
Following its massive breakout, short interest in the Energy sector (XLE) has climbed to its highest levels since 2008.
When short interest has reached prior extremes, its often preceded multi-year advances and a sustained short squeeze.
This only adds fuel to the fire as XLE is already up roughly +38% this year, and is extremely close to having its best quarter in history.
The Takeaway: A record quarter and elevated short interest suggest this move in Energy may be far from over.
More Great Charts
The Nasdaq is now in correction territory, down -10% from its all-time high.
Check out the full post from Jeroen Blokland.
Breadth continues to deteriorate, as less than half of S&P 500 components remain above their November lows.
See the entire tweet from Adam Turnquist.
The Equal Weight S&P 500 is coming into a retest of its prior highs from late 2024.
View the complete post from Jurrien Timmer.
The Mag7 ETF is breaking below key AVWAPs amid failing relative strength.
View the full post from Louis Spector.
Technology stocks saw their biggest weekly inflow on record.
Check out the whole tweet from MacroCharts.
Higher oil prices have often aligned with outperformance from transportation stocks.
See the full post from Equity Clock.
Here's a simplistic view of how oil prices are likely to impact equities.
View the whole tweet from Brian Shannon.
Gold is breaking down as real rates continue to move higher.
See the complete post from Todd Gordon.
Global bond yields are advancing in sync.
Read the latest article from Jason Perz.
The Chart Report curates best-in-class technical analysis from across the web.
If you’d like to share a chart or just say hello, email us at info@thechartreport.com
