05Apr3:38 pmEST

Solar Stocks: Oasis or Mirage?

As crude oil strengthens yet again today, coupled with buzz that domestic solars are beneficiaries (intended or not) from the Trump protectionist measures, one cannot help but return to the solar stocks, a group which has been off the beaten path for a good while now.

Typically, as we harken back to the post-First Solar IPO days of late-2006 through mid-2008, solars will flourish in an environment where oil is rising and alternative energy sources are taken far more seriously than when we are against the backdrop of low oil. 

TAN is the ETF ticker for solars, but the sector clearly encompasses much more than just FSLR these days. In fact, Sunrun (RUN) has been emerging as the best-looking overall chart for a good while now. 
On the RUN weekly chart, below, we can see both a massive base since last summer coupled with a recent bull flag looking uncoil higher as the sector gathers steam with oil today. 

Much like precious miners, and most things commodity-related for that matter, solar stocks have been notoriously slippery for years on end. However, given the RUN setup on longer-term timeframes, I am willing to probe a long and see if solar bulls have a legitimate, well, run in them going forward this spring. 

Over the weekend, we will examine the solar sector more closely for Members with other specific, actionable ideas.

Have a great weekend and I will see you there! 

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