5-27 XLE

In ERY 22.75, Target: over $25



MACD is showing bearish sign, wide divergence heading down, this means any small rally will be sold, like the last few days. On top of that, fast MA is below 0, another bearish sign.

As you can see that nice little Bear flag forming in the past few days, let's see if the 200MA will be a good resist point and bounce off it.

200MA should be 48.45 on Monday, a good bounce off it can lead XLE to below 46.5 and eventually to 43.

But, if we close above it with good volume, we might have to wait for 20/50 MA as the next resist point, XLE can rally some more to around 49.

Beyond 50, I'm switching to ERX.