Don't Ignore This Chart!

Weakening Dollar Providing Short-Term Opportunity In Oil

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FMC Technologies (FTI) provides technology solutions for the energy sector.  Much of the energy space has struggled for the last several months for a number of reasons, one of which has been the higher dollar.  The rising greenback has provided a headwind for energy companies, but with the suddenly weak jobs report on Friday, the U.S. dollar has continued to correct.  FTI seems to be in a solid technical position for a bounce as it's challenging multi-year price support after a rapid decline at a time when a long-term positive divergence has formed on its weekly chart.  Check it out:

Note also that during 2015, the three highest weekly volume bars accompanied higher price action - a positive technical development as well.

Happy trading!

Tom

Tom Bowley
About the author: is the Chief Market Strategist at EarningsBeats.com, where he provides stock market education, guidance, and trading strategies using a unique combination of technical, fundamental, and historical analysis. Tom provides EarningsBeats.com members with four portfolios (Model, Aggressive, Income, and Value), all designed to beat the benchmark S&P 500, and a revolving Watch List of hundreds of companies reporting strong quarterly earnings (must beat both revenue and EPS estimates) and exhibiting technical strength as well. These companies comprise EarningsBeats' annotated Strong Earnings ChartList (SECL), from which Tom trades exclusively. Tom writes a Daily Market Report (DMR) for members to include an executive summary, market outlook, sector/industry watch, and trading ideas. Learn More
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