Keeping An Eye On Energy

The news of the day is taking place in the energy sector. The broader market is in a slow drift lower as prices slide down a slope of hope. From a trading perspective, however, the fast money is flowing into energy.

The price of oil looks sketchy here, but over the past couple of days energy stocks have broken sharply higher out of good, solid continuation patterns. Institutions appear to be in a mad scramble to put money to work in this sector, which appears to be headed for a blow off event of some sort.