Energy Sector Declines

At the end of May, 94% of Energy stocks were above their 50-day moving averages.  Currently, there are none.  At zero percent, the indicator can't get any worse.

click to enlarge

Comments

[John Egan]

Well.. Maybe not 'this' indicator... But stochastics, MACD and ADX all point to lower. A trendline drawn on the bottoms of Jan 08 and Mar 08 on "DIG" suggest a $78 bottom as opposed to todays $91.

Hope I'm wrong! Thx jegan ;-)

[paulk8756]

Solar, wind, oil, coal, nuclear, et al, are ALL far from done. There's NO bubble here. Just a worldwide energy shortage, being led by the political Know Nothings, which is not about to abate.

Incidentally, these are COMPLIMENTARY, not COMPETITIVE investments, at this time. While the market will eventually sort out the real winners from the pretenders, it is FAR TOO EARLY to even begin considering making such calls now.

[paulk8756]

The $58 million Pickens is spending to promote expanding our domestic energy resources is an excellent example of this. He is only hyping solar and wind energy as ancillary to his belief that U.S. natural gas in the form of CNG is the best substitute for foreign oil to fuel our nation's existing vehicle fleet.

[Ronmac]

While I would always like to buy at the bottom and sell at the top, no one can do that. But, I don't let this downturn bother me too much as I know where it is going...up.

[Kunst]

COMPLEMENTARY