Energy Stock APC Approaching Buy Point

Anadarko consolidating, but 200-day moving average should hold any pullbacks

   

Anadarko Petroleum Corporation (NYSE:APC) —  This major independent oil and gas exploration and production company, with operations primarily in the United States, the deepwater of the Gulf of Mexico, and Algeria, is in a consolidation that began early last year.

After a $4 billion settlement with BP (NYSE:BP), the focus can now shift to APC’s top-tier exploration and development portfolio. Earnings are estimated to be $2.95 in 2011 and $3.05 in 2012. Recent developments in the supply of natural gas should help the company’s bottom line.

The stock has been consolidating within a massive “V” formation with a bottom at under $60 and a neckline at $84. The 200-day moving average at $75 should hold any pullbacks, and so that is the preferred buy point. A breakout through the neckline at $84 has a target of $110.

Trade of the Day – Anadarko Petroleum Corporation (NYSE:APC)
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Article printed from InvestorPlace Media, http://investorplace.com/2012/01/trade-of-the-day-anadarko-petroleum-corporation-nyse-apc/.

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