This is one of the best-looking stocks in the entire energy space

It’s displaying MAJOR relative strength right now. [Justin Spittler's Trade of the Week] This is one of the best-looking stocks in the entire energy space Rotation is underway… As I’m sure you noticed, the past few weeks in the market have felt a lot different than the first six months of the year. This graphic below says it all. As you can see, utilities, real estate, and consumer defensive stocks have led the way lately. Meanwhile, technology stocks—which were massively outperforming for much of this year—have been getting crushed. Source: FinViz This is what we call “rotation.” It’s what keeps bull markets chugging along. If you time these rotations ahead of time, you can become a very successful trader. That brings me to my new Trade of the Week: ExxonMobil (XOM). Exxon is the world’s largest energy stock. Energy stocks are quietly setting up right now. Based on my analysis, they’re one area of the market that could see major inflows in the coming weeks. But that’s just one reason why we’re putting on this Exxon trade… Exxon also has one of the best-looking charts in the entire energy space. One of the things that I love about this setup is the lack of overhead supply. Exxon is trading less than 4% below its all-time highs. The Energy Select Sector SPDR Fund (XLE), for comparison, is still more than 11% below its all-time highs, which dates all the way back to 2014. In other words, XOM is displaying MAJOR relative strength. I suggest putting on a starter position in XOM. I believe the stock could hit $140 over the next 12–18 months. Exit your position if XOM closes below $113. That gives us a risk-reward ratio of more than 4:1 on this trade. Action to take: Buy XOM at current market prices. Risk management: Exit your position if XOM closes below $113. Justin Spittler Chief Trader, RiskHedge Suggested Reading... [We got the selloff—now what?](  [Time to buy this "safe haven" as volatility spikes]( Share Your Thoughts on this Article [Post a Comment]( Keep up with RiskHedge on the go. Download the App [Get it on Google Play]( [Download on the App Store]( [QR Code] If someone forwarded you this email and you would like to be added to our email list to receive Justin Spittler's Trade of the Week every week, [simply sign up here.]( This email was sent to {EMAIL} as part of your subscription to Justin Spittler's Trade of the Week. To opt-out, please visit the [unsubscribe page](. [READ IMPORTANT DISCLOSURES HERE.]( YOUR USE OF THESE MATERIALS IS SUBJECT TO THE TERMS OF THESE DISCLOSURES. Copyright 2024 RiskHedge. All Rights Reserved RiskHedge | 1417 Sadler Road, PMB 415 | Fernandina Beach, FL 32034