I have been bullish on the Oil and Gas Exploration ETF (XOP) for several weeks now. The main trading price target that I have been touting is $71.50, the MFU-3 target (money flow unit).
Here are a handful of articles from the past 3 months:
Oil and Gas Stocks Bullish Forecast With Price Targets
Oil and Gas ETF (XOP) Hits First Target, What’s Next?
Oil and Gas Sector ETF (XOP) Working For Bullish Swing Traders
Oil and Gas Sector (XOP) Flashes Bullish Signal On Breakout
Late last week that price target was been hit. And I believe it’s right to take some profits here.
Although I don’t believe the bullish energy trade is over, the odds of a significant pullback does exist. It is wise to take some profits and look to put the money back to work at lower prices.
I will plan to load back up the long trade once I get a chance to gauge the pullback from this price target.
That said, if the index closes above $73, I will get back long and share the new MFU-4 price target at that time.
My WTI Crude Oil near-term price target is $57, and long-term target is $64.
The author may have a position in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
