The price of crude oil has been in a downtrend now for about 3 months. With this decline, oil stocks such as Canadian Natural Resource Ltd (USA) (NYSE:CNQ) have also come down in price. In fact, this equity has fallen roughly 13% from its peak back on July 1. However, the thing that really interests me is the pattern that is being formed on the daily chart. It is...
triple top, bearish RSI divergence, and oversold on the weekly. Expecting a drop soon, no measured move, or target. Just an observation.
getting tired? Long but will be watching closely for an exit.
Next -12 months this stock will trade above $40 and good to take advantage the option leverage and buy some LEAPS now. Join us woowtrading.net
correlation : 96 % co-integration : .92 LONG CNQ @ 38.75 SHORT PXD @ 108.35 my only concern is the dispersion of about 27 % between the two stocks. But with a co - integration of 0.92 , i'm confident that the trade will be successful. Avg day in trade ( based on past 3 years) is 9.33 days.
correlation : 68 % co-integration : 0.81 short CNQ @ 40.07 long SM @ 71.47