stock
Chevron (CVX-N, Monday’s close US$176.90) rallied from US$65.16 in October 2020 to US$189.68 in November 2022 (A-B), while trading above a rising trendline (dotted line) and above its rising 40-week Moving Average (40wMA). The stock then began trading within a modestly declining parallel channel for about three years (dashed lines). The recent advance above the top of this channel signaled a breakout and the start of a new uptrend toward higher targets (C).
Behaviour indicators, including the rising 40-week moving average (40wMA), support the bullish outlook. There is solid support in the US$160–165 area; only a sustained decline below US$152–153 would negate the current upside potential.
Point & Figure measurements provide targets of US$195 and US$210. Higher targets are visible.
Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart, courtesy of www.LSEG.com