Our long position in $XOP held up well yesterday closing above 61.00. The 10-day moving average is catching up quickly and should provide support within the next few days. On the short side, $XME once again stalled at resistance from the 20-day EMA and backed off. A break of Monday’s low would put the price action below all the major averages on the intraday and daily charts. After a false breakout attempt above 23.93 late last week, the iShares Dow Jones US Home Construction ($ITB) recovered nicely off the 10-day moving average on Monday. Although we would prefer a two to five bar pullback to the 20-day or 50-day moving average as a low risk entry, $ITB could simply trade in a tight range and attempt to breakout again within the next few days. A short-term pullback would help to work off the V-shaped basing pattern formed by the sharp selloff from 2/20 to 2/25 and quick recovery from 2/26 to 3/6.