Direxion Daily Energy Bull 2X Shares [ERX] Stock Forecast

OPEC's recent meeting ended in a stalemate, with unchanged production quotas and a "voluntary" program for additional output cuts. Oil prices have declined due to Chinese economic weakness, but the U.S. is looking to buy at $67-$72 per barrel to replenish its Strategic Petroleum Reserve. The Energy Select Sector SPDR® Fund ETF and Direxion Daily Energy Bull 2X Shares ETF funds offer opportunities for investors to capitalize on potential increases in oil-related share prices, but timing and risk management are crucial.

The third quarter saw the energy sector surge, outpacing the majority of the S&P 500 while also benefiting energy bulls. However, a more recent pullback could offer opportunities for bears.

Oil price jumped 5%, following a surprise severe attack on Israel by Palestinian militants, Hamas. Investors could tap the surging oil price with the help of leveraged energy ETFs to make quick profits.

While the spotlight has been on technology for much of 2023's market rally, energy shouldn't be ignored. Stubborn inflation is keeping these prices high, making way for trading opportunities in the sector.

I explain the methodology for choosing which ETFs to invest in, using a combination of technical and fundamental analysis to identify the best sectors and trends. I suggest that ETFs are not less than stocks but are used to diversify the portfolio and can be used as a good alternative investment to stocks. I conclude that investing in ETFs is an excellent method of investing exclusively or in tandem with a stock portfolio, and using technical analysis when monitoring the entire portfolio is worthwhile for all investors.

Oil price surged to the highest level in almost nine months. Investors could tap the bullish trend with the help of leveraged ETFs to make quick profits.

Editor's note: Any and all references to time frames longer than one trading day are for purposes of market context only, and not recommendations of any holding time frame. Daily rebalancing ETFs are not meant to be held unmonitored for long periods.

These volatile ETFs can make a lot of money in the right market, but they can lose a ton in the wrong market.

Oil, gas, and energy stocks have declined from their highs. Three reasons why another rally is likely: SPR buying, seasonality, and Chinese and Indian demand. Traditional energy company profits are the president's target: Massive profits, share buybacks, and less drilling.

The fundamental factors of demand and supply remain intact for the energy sector for the long term. The valuation and dividends are attractive for some of the energy stocks.

Direxion Daily Energy Bull 2X Shares is a US stock and trading under the symbol ERX

Direxion Daily Energy Bull 2X Shares stock price is $54.4 today.

Yes, Direxion Daily Energy Bull 2X Shares is a publicly traded company.