Energy Improving in Three Time Frames Watching sector rotation at the start of this week shows a continued improvement for the Energy sector (XLE). Even though XLE has the lowest reading on the JdK RS-Ratio scale, it has a long tail, and it has just entered the improving quadrant. This happens after a very long rotation and at very low RS-Ratio levels, but when I combine this rotation with the XLE tails on the daily and monthly RRGs, it becomes interesting. On the daily RRG the tail is well inside the leading quadrant and still pushing higher on strong momentum. The RRG-Heading has slowed slightly but is still within 0-90 degrees. On the monthly RRG, the XLE tail is still inside the weakening quadrant and starting to hook back up. This is interesting as it signals the potential start of a new up-leg in the already existing relative uptrend. All…
