During Monday's Lightning Round segment of Mad Money, one caller asked Jim Cramer about Energy Transfer (ET) . "I don't like the MLPs. I say take some profits and sell it," replied Cramer about this company that is involved with transportation, storage and terminalling, crude oil, NGLs, refined products, and liquid natural gas.
Let's check the ET charts.
In the daily bar chart of ET, below, we can see a peak in June followed by a pullback/correction. ET is now trading below the declining 50-day moving average line. The rising 200-day moving average line intersects around $6.
The On-Balance-Volume (OBV) line has weakened from the middle of June and tells us that traders have shifted to aggressive selling from aggressive buying. The Moving Average Convergence Divergence (MACD) moved below the zero last month for a sell signal.