It's no secret that crude oil prices ($WTIC) have been tumbling over the past 18 months, but that has kept tremendous pressure on energy-related shares and the energy ETF (XLE). Crude oil managed to close back above $31 per barrel with the Dow Jones U.S. Pipelines Index ($DJUSPL) up more than 10%. That helped the XLE to climb more than 4.0% on today's session. XLE's gain more than doubled the gains in any other sector with the lone exception being healthcare (XLV), which was buoyed by an oversold biotechnology ($DJUSBT) sector. Energy's certainly not out of the woods just yet. In fact, continuing strength in the near-term will present challenges at the 58.00-60.00 resistance zone. Check out the chart:
The rapidly declining 20 day EMA is currently in that resistance zone at 58.46 and will provide another obstacle for traders on the long side. Clearing this zone, however, could open up an opportunity for the XLE to touch its 50 day SMA, something it hasn't done since early December.