The One Chart to Watch This Week

[Jeff Clark's Market Minute]( The One Chart to Watch This Week The energy sector is setting up to make a big move – one way or the other. And, that move should start by Christmas. Take a look at this chart of the Energy Select Sector SPDR Fund (XLE)… XLE is up about 4% so far in 2019. That’s well behind the 26% gain posted for the S&P 500. But, if the energy sector breaks higher, then it sure looks to me like XLE could play a wicked game of “catch-up.” Recommended Link [ad_img]( [Fair Warning: This May Not Be Right For You]( I can’t guarantee that this radical retirement plan will be right for you. It’s different… and goes against conventional wisdom. But it helped me retire at 42. And it continues to help me make tens of thousands of dollars every year. [Check it out here.]( -- For the past three months this chart has been making a series of higher lows and lower highs. This action has created a “consolidating triangle” pattern (the straight blue lines on the chart). And, this pattern often resolves with a very strong breakout one way or the other. Since the various moving averages have shifted to a bullish configuration with the shorter-term 9 and 20-day [EMAs]( trading above the 50-day [MA]( the odds favor a breakout to the upside as the chart approaches the apex of the triangle. So, this is one of the few sectors that looks to me to offer a good risk/reward setup for new purchases. There’s still a lot of space between the [support]( and [resistance]( lines of the triangle. So, the sector may just keep chopping back and forth inside the pattern for another week or two. But, energy is building here. Oil stocks are going to make a big move, soon. Traders should keep an eye on this chart over the next week or so. If XLE can make a decisive move above $60.50 per share or so, then the energy sector will be off and running. It has been one of the worst-performing sectors of the market all year. But, if we get an upside breakout from this pattern, then the energy sector could be the best-performing group over the next month. Best regards and good trading, Jeff Clark Reader Mailbag Today, subscribers thank Jeff for his recommendations in his option trading service, Jeff Clark Trader… My first trade netted me $100 overnight. Best investment I ever made. – Bernie Hi Jeff, I want to thank you for your recent recommendations in Jeff Clark Trader. With the VIX outside the Bollinger bands, I took your advice and bought some shares on Friday and sold them Monday. Thanks to you I made a quick nice profit! Please continue to keep us informed because you are very smart and know the markets. We need your advice! Thanks again. – Frank Thank you, as always, for your thoughtful comments. We look forward to reading them every day. Keep them coming at feedback@jeffclarktrader.com. In Case You Missed It… [The surprising place you should put your money on Dec. 11]( If you were thinking about making any investments this quarter, you might want to hold off until Wednesday, December 11th, at 8 pm ET… Here’s why… There’s [a (surprising) place that has the potential to generate larger gains faster than you might think possible]( It’s not Bitcoin, gold, or even stocks for that matter… But according to former billion-dollar hedge fund manager, Larry Benedict… A real-life Market Wizard… [It’s the #1 way to generate the most potential profit out of any financial market.]( [Jeff Clark's Market Minute]( © Jeff Clark Trader 455 NE 5th Ave, Suite D286, Delray Beach, FL 33483 [www.jeffclarktrader.com]( This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. To stop receiving these emails, click [here](. Jeff Clark Trader welcomes your feedback and questions. But please note: The law prohibits us from giving personalized advice. To contact Customer Service, call toll free Domestic/International: 1-800-752-0820, Mon–Fri, 9am–7pm ET, or email us [here](mailto:contactus@jeffclarktrader.com). © 2019 Jeff Clark Trader. All rights reserved. Any reproduction, copying, or redistribution of our content, in whole or in part, is prohibited without written permission from Jeff Clark Trader. [Privacy Policy]( | [Terms of Use](