Energy sector positioning looks intriguing as we kick off the new year. Charts are signaling a potential 3x outperformance versus broader indices—and the macro backdrop actually supports it.

Here's the thing: the wealth concentration at the top 10% currently drives roughly half of all consumer spending. When that shifts—and it will—you get a cascade effect. Earnings compress. Asset prices get repriced lower. But commodities and energy? They tend to move differently in that scenario.

It's not just technical alignment. It's the ebb and flow of economic cycles playing out. The repricing we're seeing now might just be the beginning of a broader recalibration. Worth keeping on the radar if you're thinking about portfolio positioning for the year ahead.