The question on everyone's mind: Will MARATHON OIL CORP breakout?

A possible breakout setup was detected on MARATHON OIL CORP (NYSE:MRO) 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:MRO.

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

ChartMill assigns a Technical Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple technical indicators and properties.

Overall MRO gets a technical rating of 8 out of 10. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, MRO is only an average performer.

• The long and short term trends are both positive. This is looking good!
• In the last month MRO has a been trading in the 25.03 - 26.99 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.
• Looking at the yearly performance, MRO did better than 85% of all other stocks. However, this relatively good performance is mostly due to a recent big move.
• MRO is part of the Oil, Gas & Consumable Fuels industry. There are 217 other stocks in this industry, MRO did better than 62% of them.
• MRO is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so MRO is lagging the market slightly.

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

Why is NYSE:MRO a setup?

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:MRO has a 8 as its setup rating:

Besides having an excellent technical rating, MRO also presents a decent setup pattern. Prices have been consolidating lately. A pullback is taking place, which may present a nice opportunity for an entry. There is a resistance zone just above the current price starting at 26.53. Right above this resistance zone may be a good entry point. Another positive sign is the recent Pocket Pivot signal.

Trading breakout setups.

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.

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

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.