stock
EOG Resources (EOG-N, Monday’s close US$142.99) rallied from US$28.14 in October, 2020, to US$145.87 in October, 2022, (A–B) while trading above its rising 40-week Moving Average (40wMA). The stock then transitioned into a wide horizontal trading range, fluctuating mostly between US$100 and US$140 (dashed lines).
Earlier this year, the stock had a breakout from this range and reached a high of US$151.87 (C). The stock was overbought at this time and trading far above its average. It then pulled back toward its average where it appears to have found support (D) and now appears ready to resume the uptrend. Only a sustained decline below $125-130 would be negative.
Point & Figure measurements provide targets of US$155 and US$170. The large trading range supports higher longer-term targets.
Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart, courtesy of www.LSEG.com