ERX Trade

If I didn't already have ERX, I'd consider ERX long here if for nothing else, a swing move in the range, here's why...

 This is Energy, XLE broadly which includes oil and services. This 3 min chart shows it breaking just below recent support on a nice positive divergence, but the added bonus of the trade is the stop is so close.

 Longer term, along swing trade lines, the 10 min chart is positive at the same area, but XLE alone doesn't have the leverage in this range to make the trade worthwhile.

 ERX is a 3x leveraged Energy bull ETF, the 15 min swing timeframe chart is positive like XLE at the same spot, right on a break just below support. The thing is, we see head fake moves happen about 80% (or more) of the time just before a reversal in trend, it has a lot to do with momentum, but there are a lot of reasons.

In this case I would probably size the risk more along the lines of speculative just because of the range and I'd have a stop on a CLOSING BASIS-not intraday- just below $50, maybe $49.87, but $50 is too obvious a stop level.

 ERX 2 min, like XLE is also positive at this move just below support that triggered stops/volume in XLE.

 The opposite of ERX is ERY and showing the opposite signal, 10 min swing is negative

3 min intraday is leading negative as it breaks just above resistance.

My initial target for an ERX swing trade would be up around $55.