Hi Shoppers,

The energy sector has had a really nice run.

Crude oil futures have been up for eight days straight.

Check it out:

And look at yesterday’s candle.

It’s looking like a doji and it’s up against some resistance on my pitchfork.

Now check out the Exxon Mobile (Ticker: XOM) chart:

Up against resistance at the top of the pitchfork AND a shooting star candle.

The shooting star occurs at the top of an uptrend and could be signaling a change in that trend.

Time for a pullback, possibly?

Looking at the options, next week’s puts are looking pretty cheap:

The 113 puts have an implied volatility of 17.60 while the overall IV is trading at 20.63 and the historical volatility comes in at 22.65.

The pullback may be quick as the energy sector is experiencing a bullish tilt.

I do think XOM could trade down to $112 which would bring these puts up to $1.70.

Remember to wait for the confirmation tomorrow morning before hopping in.

Trade Review

Apple (Ticker: AAPL) still coiling with a $2.00 range yesterday.

Need to see this one move.

Thanks for reading … See You Next Tuesday,

Licia Leslie