Stock quotes in this article: CVX
Let’s check the charts and indicators again.
In the CVX daily bar chart, below, we can see that stocks have been declining since early June. Prices stabilized around the 200-day upward moving average line and rallied ahead of the earnings release. CVX is likely to retest the declining 50-day moving average line on Friday.
The daily On-Balance-Volume (OBV) line is recovering again after a slight decline from early June. A rising OBV line tells us that buyers of the stock are more aggressive, increasing trading volume on days when the stock closed higher. The Moving Average Convergence Divergence Oscillator (MACD) turned higher for a signal to buy hedging shorts. An outright buy signal may soon arrive.
In the CLC weekly Japanese candlestick chart below, we can see lower shadows from earlier this month as prices retested the rising 40-week moving average line.
The weekly OBV line shows that it has bottomed out in recent weeks. The MACD oscillator is pointing down in take profit mode but has narrowed so a bullish cross could develop in the coming weeks.
In this daily dot-and-digit chart of CVX, below, we can see an upward price target at the $175 area.
Basic strategy: Continue to trade CVX on the long side.
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