Exploring EQT CORP's Technical Signals and Breakout Potential.

Our stock screener has spotted EQT CORP (NYSE:EQT) as a possible breakout candidate. A technical breakout setup pattern occurs when the stock is consolidating after a nice uptrend. Whether the actual breakout occurs remains to be seen of course, but it may be interesting to keep an eye on NYSE:EQT.

Zooming in on the technicals.

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

Taking everything into account, EQT scores 8 out of 10 in our technical rating. Although EQT is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• Both the short term and long term trends are positive. This is a very positive sign.
• EQT is currently trading in the upper part of its 52 week range. The S&P500 Index however is currently trading near a new high, so EQT is lagging the market slightly.
• In the last month EQT has a been trading in the 38.74 - 42.45 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, EQT turns out to be only a medium performer in the overall market: it outperformed 66% of all stocks.
• EQT is an average performer in the Oil, Gas & Consumable Fuels industry, it outperforms 50% of 213 stocks in the same industry.

For an up to date full technical analysis you can check the technical report of EQT

Looking at the Setup

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NYSE:EQT currently holds a 9 as its setup rating, suggesting a particular level of consolidation in the stock.

EQT has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 41.33. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 40.96, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for EQT in the last couple of days, which is a good sign.

How can NYSE:EQT be traded?

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

This article should in no way be interpreted as trading advice. You should always make your own analysis and trade or not trade based on your own observations and style. The article is based purely on some technical observations.

More breakout setups can be found 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.