NYSE:MPLX may be ready to breakout.

A possible breakout setup was detected on MPLX LP (NYSE:MPLX) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:MPLX.

What is the technical picture of NYSE:MPLX telling us.

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.

Taking everything into account, MPLX scores 10 out of 10 in our technical rating. Both in the recent history as in the last year, MPLX has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, MPLX did better than 85% of all other stocks. We also observe that the gains produced by MPLX over the past year are nicely spread over this period.
• MPLX is part of the Oil, Gas & Consumable Fuels industry. There are 211 other stocks in this industry. MPLX outperforms 86% of them.
• MPLX is currently trading near its 52 week high, which is a good sign. The S&P500 Index however is also trading near new highs, which makes the performance in line with the market.
• In the last month MPLX has a been trading in the 50.14 - 54.74 range, which is quite wide. It is currently trading near the high of this range.

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

How do we evaluate the setup for NYSE:MPLX?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the extent of consolidation in the stock based on multiple short-term technical indicators. Currently, NYSE:MPLX has a 9 as its setup rating:

Besides having an excellent technical rating, MPLX also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 53.85. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 53.59, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading setups like NYSE:MPLX

To potentially initiate a trade, it is common practice to wait for the stock to break out of the consolidation zone. This breakout signifies a potential upward movement, and traders may enter the stock at that point. Conversely, if the stock falls back below the consolidation zone, it may be sold at a loss.

Disclaimer: This article is not intended to provide trading advice. It is crucial to conduct your own analysis and consider your own observations and trading style when making investment decisions. The article solely presents technical observations and should not be relied upon as a sole basis for trading.

Our Breakout screener lists more breakout setups and is updated daily.

Disclaimer

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.