The pain trade is higher.

Recap from last week: “Energy vs QQQ is back. Expect a bounce back in energy for the week.” (XLE +10.22% vs QQQ +4.46%) “USD weakness helps bid energy, which will also help raise interest rates” (USD -0.79% & WTI +4.41%) “Call option volatility and skews are very firm as there is growing sense that this rally is different and might be able to continue.”

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