tech
The charts are showing solar stocks will keep soaring after a strong start to the year
Jay Woods of Freedom Capital Markets takes a look at technicals on the TAN ETF.
TL;DR
- The Invesco Solar ETF (TAN) has significantly outperformed most sectors, up 16% year to date and 62% since Trump's inauguration.
- TAN rallied approximately 550% during Trump's first term, while shares dropped by about 70% during Biden's term.
- Current technical indicators on daily and weekly charts suggest a strong uptrend is resuming after a recent pause.
- The recommended trade is to go long above $50, with stops under $45, targeting the mid-70s.
- Potential tailwinds include rising oil costs and increased demand for cheaper energy alternatives.