A high-probability options trade that wins if the comeback rally in energy stocks hits a wall

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Markets,Personal Finance,Vaneck Oil Services ETF

Oil has been experiencing a face-ripper rally since February and it has been in overbought territory since March. It is now rapidly approaching a price level which could serve as short-term resistance.

With this view in mind, I am looking for a bearish setup in the VanEck Oil Services ETF . This ETF seeks to track the largest, most liquid companies involved in oil drilling and selling oil equipment based on market capitalization. Its largest holdings include companies like Schlumberger and Halliburton. To confirm my bearish, I have taken into account two factors: Although OIH is approaching a multi-year high, the $360 price level could also serve as overhead resistance.

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