Energy Sector Relative Strength

The energy sector has badly underperformed the SP 500 since the
popping of the oil price bubble in 2008. Relative performance of
the energy sector has outrun the deep down trend line from 2008,
but, as is interesting, it is threatening to break out of a tight down
trend line dating back 12 months. The recent bounce in the oil price
and the apparent basing of the natural gas price are helping as is
the passing of the peak in merger arbitrage of the Exxon / XLO
deal. The broad group is doing ok despite hits to BP and Anadarko,
so a breakout above trend may be of interest. Chart.