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Tuesday, March 11, 2014

Chevron stock consolidates and may rally soon

For Chevron stock (NYSE:CVX), it is a tug of war between the bulls and the bears, which may result in the bull’s victory, as shown in the chart.

While it fails to close below it, the price is hovering almost above the EMA 21. The Williams’ % Range period 20 is a kind of neutral, ready to follow whoever ends up dominating the market. Based on the price action in the chart, it is highly probable that a breakout would occur at last, and when it happens, it would be in favor of the bulls. The support level at 100.00 is the great hurdle to any bearish plunge in this year: the price may reach the resistance level at 125.00 eventually.  

Conclusion: Chevron is expected to go north, according to what the chart says. A proper use of analytical tools and chart patterns has the potential to improve a strategy for additional income. It is true that many people speculate on part-time basis and supplement their income with gains from the market.

This forecast is ended with the quote below:

“Successful traders follow rule-based strategies to minimize emotions… You cannot be consistently successful in trading if you take large losses. No trader is right all of the time… The best way to prevent those large losses is to stop out of trades that are no longer going the direction you had traded.”  - Brandon Wendell

Azeez Mustapha

Market Analyst, Trading Signals Provider and Coach

Eye-opening trading lessons: Lessons from Expert Traders



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