The SLB weekly chart does not look promising yet. We are now the third week below Bollinger. The top pattern gives a target of 35/40, which is confirmed by the counts. The current earnings release of 1.25 does not make it the cheapest stock in this sector as Valero trades at half the earnings value but it's not directly comparable. We are currently in wave 3, which has made factor 1.62 of wave 1. That could be enough but the fact that it stays below the Bollinger makes it hard to call right now. All I can say for now is that it's a sell around 70, which might be the target for wave 4 or a buy around 40, if we go directly there. I have to see how this week turns out - since we likely will get an upside move briefly in crude oil as today's price action confirms.
Monday, October 20, 2008
Schlumberger technical outlook
The SLB weekly chart does not look promising yet. We are now the third week below Bollinger. The top pattern gives a target of 35/40, which is confirmed by the counts. The current earnings release of 1.25 does not make it the cheapest stock in this sector as Valero trades at half the earnings value but it's not directly comparable. We are currently in wave 3, which has made factor 1.62 of wave 1. That could be enough but the fact that it stays below the Bollinger makes it hard to call right now. All I can say for now is that it's a sell around 70, which might be the target for wave 4 or a buy around 40, if we go directly there. I have to see how this week turns out - since we likely will get an upside move briefly in crude oil as today's price action confirms.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment