Will CHEVRON CORP breakout?

We've identified CHEVRON CORP (NYSE:CVX) as a potential breakout candidate based on our stock screener's analysis. This breakout setup pattern suggests that after a strong uptrend, the stock is currently consolidating, potentially signaling a continuation of the trend. Keep an eye on NYSE:CVX for further developments.

Analyzing the Technical Aspects

As part of its analysis, ChartMill provides a comprehensive Technical Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various technical indicators and properties.

We assign a technical rating of 7 out of 10 to CVX. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, CVX is only an average performer.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• In the last month CVX has a been trading in the 156.39 - 167.11 range, which is quite wide. It is currently trading in the middle of this range where prices have been consolidating recently, this may present a good entry opportunity, but some resistance may be present above.
• When comparing the performance of all stocks over the past year, CVX turns out to be only a medium performer in the overall market: it outperformed 49% of all stocks.
• CVX is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so CVX is lagging the market.

Check the latest full technical report of CVX for a complete technical analysis.

How does the Setup look for NYSE:CVX

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for NYSE:CVX is 8:

CVX has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is a support zone below the current price at 162.76, a Stop Loss order could be placed below this zone.

Trading breakout setups.

One strategy to consider is waiting for the actual breakout to occur, where the stock breaks out above the current consolidation zone. Traders can then enter a buy position, anticipating further upward momentum. As a risk management measure, it is advisable to set a stop loss order below the consolidation zone.

Of course, there are many ways to trade or not trade NYSE:CVX and this article should in no way be interpreted as trading advice. The article is purely based on an automated technical analysis and just points out the technical observations. Always make your own analysis and trade at your own responsibility.

Every day, new breakout setups can be found on ChartMill in our Breakout screener.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.