Exxon and Chevron are two of just 10 members of the Dow Jones Industrial Average that are up at least 10% this year.
Related: 4 Energy ETFs may be at Near-Term Tops
Oil majors have tightened their belts, reducing costs by laying off thousands of workers and halted many new projects. Large integrated oil companies are expected to hold up better than drilling stocks as these giants have both upstream exploration and production, along with downstream refining operations.
“Looking at a long-term chart of the XLE ETF that tracks the energy sector, Ross noted a recent break in a downtrend line that’s been in place since 2009. “That’s your first sign that the trend is turning,” Evercore ISI’s head of technical analysis said. Furthermore, he pointed to a big head and shoulders, which he expects to serve as a strong base of support,” according to CNBC. http://www.cnbc.com/2016/06/08/chart-points-to-significant-upside-for-energy-technician.html
For more information on Energy ETFs, visit our Energy category.
Energy Select Sector SPDR