By: Donald_W_Dony
Energy stocks, which usually front run the underlying oil, are also displaying a more positive tone. Having broken above the resistance line of $79.50 in May, the SPDR Energy Sector ETF has now completed its pull back in early June and is now starting to rebound.
Energy companies such as Emerald Oil Inc. (EOX), Newfield Exploration (NFX) and Marathon Oil (MRO) look particularly positive on the sector advance.
Bottom line: The energy sector (XLE) is suggesting that the breakout in Light crude prices will continue. It also indicates that traders believe that world economies will remain upbeat in the second half of 2013.
Once WTI moves over $99, then the project target will be $115.
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