This energy stock is bucking the current trend. Scott’s watching $LNG – October 27, 2022LNG XLE
This is Scott with your Chart of the Day. I have been really focused on energy lately for good reason. If you look at XLE ( NYSEARCA: XLE ), it’s been in a nice uptrend and is near the high. You can see how the high back here in June is kind of near the high here in October.
I have been focused mainly on energy, but I sold my energy stocks today as I kind of felt the move was getting a little long in the tooth. The chart is looking a bit extended here, above all the major moving averages.
And then, after the close tonight, I looked at LNG ( NYSEAMERICAN: LNG ). This stock is NOT extended high above the major moving averages. In fact, it is kind of just sitting on that daily 21 exponential period moving average.
I kind of like the pattern here on LNG ( NYSEAMERICAN: LNG ). If I put a line here you can see a clear resistance level right at the 176.69 zone. I will point out that they do have earnings coming up next week, so if this stock doesn’t break out before then, it is probably not a stock that I would buy.
I don’t like to not have a cushion in a stock leading up to earnings. Especially, in this market environment. So this is definitely one that I am watching though, and I am going to set an alert on my platform right around that 178.69 zone.