Is The Green Energy Rally Over?

Most of Wall Street is focused on the oil market, but there are important dynamics occurring in other parts of the energy markets as well.

The Invesco Solar ETF TAN invests in a basket of stocks of companies that are in the solar industry, and it has just crashed into a wall of sellers around the important $77 per share level.

From July through October, $77 was a support level. Many investors bought TAN at that price. It moved higher and investors were making money, but then it fell back through $77.

A number of investors now regret buying and decide to sell if they can do so without taking a loss. As a result, they place their sell orders at their buying price.

If there are enough of these sell orders, it forms resistance as it did around $77. This could continue to keep a top on the price.

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