The conversation with a technician on CNBC can often feel like a different language. It’s a world of moving averages, momentum divergences, and Fibonacci retracements. But when Jonathan Krinsky from BTIG speaks, I listen. I’ve spent years on the floor, watching charts flicker on a hundred screens, and the best technicians translate those squiggles into a story about fear and greed. Krinsky does that.
His recent appearance offered a clear, two-part narrative for investors to consider as we look toward 2025. It wasn’t about vague predictions. It was about the raw, unemotional language of price action. He pointed to a sector showing surprising resilience and another flashing cautionary signals. This is the kind of cross-market analysis I built my career on.
Let’s start with the standout: the energy sector. On the surface, this might seem counterintuitive. We hear daily about the transition to renewables, about electric vehicles, about a future less dependent on fossil fuels. The narrative is powerful. But the charts, Krinsky notes, are telling a different, more immediate story.
The technical setup for many energy names, particularly those tied to oil and natural gas, is constructive. We’re seeing a pattern of higher lows on the charts. That’s trader speak for a foundation of buying interest that grows stronger over time. Each market dip is met with buyers stepping in at a slightly higher price level than the last. This isn’t speculative frenzy. It’s steady accumulation.
From my own reporting, this aligns with a fundamental reality the market is slowly pricing in. Global demand remains stubbornly robust. Geopolitical risks from the Middle East to shipping lanes haven’t vanished. And critically, years of underinvestment in new production during the pandemic era are now constraining supply growth. The charts are simply catching up to this tightening physical market. It’s a sector, as Krinsky framed it, that is quietly building a base for the next leg higher.
Now, pivot to the other side of his analysis: the financial sector. Here, the picture is more nuanced, leaning toward concern. Banks are the circulatory system of the economy. Their stock performance often telegraphs the market’s belief in future growth or lack thereof. Krinsky’s read on the charts for major banks and financial ETFs is less enthusiastic.
He highlighted a critical level that the sector has struggled to reclaim. In technical terms, a prior support level has become resistance. Think of it as a ceiling the market keeps hitting its head on. Every time prices rally to that zone, selling pressure emerges. This suggests a lack of conviction among large investors. They are using strength to exit, not enter.
This hesitation makes fundamental sense when you talk to traders on the desk. The lingering question is the path of interest rates. Banks thrive on a healthy spread between what they pay for deposits and what they earn on loans. The Federal Reserve’s “higher for longer” posture creates uncertainty. Will loan demand hold up? Will credit quality deteriorate? The charts reflect this collective pause. They show a sector stuck in a range, lacking the clear directional energy we see elsewhere.
Synthesizing these two views paints a telling picture for 2025. It’s a market of selective rotation, not broad-based boom. Capital is moving, not flooding in everywhere. Money is patiently flowing into areas where the price structure and underlying fundamentals are aligning, like energy. It’s growing cautious on sectors where the road ahead is foggy with policy uncertainty, like financials.
This is the real value of technical analysis when done well. It’s not a crystal ball. It’s a sentiment gauge. It measures the collective actions of all market participants—the big institutions, the hedge funds, the retail traders—and distills it into a visual story. Krinsky’s dual-sector call is a masterclass in that. He’s identifying where the smart money is quietly building positions and where it’s hitting the brakes.
For an investor, this isn’t a signal to blindly buy or sell. It’s a framework for asking better questions. If energy is building a base, what are the specific companies with the cleanest charts and strongest balance sheets? If financials are stalling, does that present a long-term value opportunity if you believe the Fed will eventually cut rates or is it a warning to reduce exposure?
From my perch in the Financial District, I see this play out every day. The narratives on television are one thing. The silent battle on the charts, where billions of dollars change hands with every tick, is another. Krinsky’s analysis bridges that gap. He gives us the translation. As we look to 2025, the message is clear: focus on the sectors where the price action confirms the story, and be wary of those where it tells a tale of doubt. The market is always speaking. You just have to know how to listen.
- Energy sector shows resilience
- Pattern of higher lows indicates buying interest
- Geopolitical risks remain
- Financial sector exhibits caution
- Critical resistance levels in banks
- Uncertainty from interest rate policies
| Sector | Outlook | Key Points |
|---|---|---|
| Energy | Constructive | Higher lows, strong buying interest, geopolitical risks |
| Financial | Cautionary | Resistance levels, selling pressure, interest rate uncertainty |
