Energy Bounces Off Support

The Energy Select Sector Spider (XLE) closed higher for the 4th-straight session following the recent backtest to $66.34 and breach of a descending 200-day moving average. The 50-day moving average is in a strong uptrend and is on track to clear the 200-day moving average to form a golden cross. Current resistance is at $68-$68.25 with today’s high reaching $68.16. A move above the latter would be a bullish signal for another run at $69-$70. A move below $67.50-$67.25 could signal additional weakness. RSI is back in an uptrend after bottoming near early August support at 50.