3 Oil and Natural Gas Charts You Should See

Take advantage of a bullish environment with one of these three stocks

   

The Trending123 Pattern Scan powered by Recognia has unveiled three oil and natural gas plays today — two intermediate-term trades and one for the long-term. Have a look at the charts and decide for yourself whether to take action.

Symmetrical Continuation Triangle

7 19 13 aav 300x261 3 Oil and Natural Gas Charts You Should See
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Advantage Oil and Gas
(AAV) has developed a symmetrical continuation triangle over the past 25 days.

The price has broken upward out of a consolidation period, suggesting a continuation of the prior uptrend. A symmetrical continuation triangle shows two converging trendlines as prices reach lower highs and higher lows. Volume diminishes as the price swings back and forth between an increasingly narrow range reflecting uncertainty in the market direction. Then well before the triangle reaches its apex, the price breaks out above the upper trendline with a noticeable increase in volume, confirming the pattern as a continuation of the prior uptrend.

Target Price: $4.75 – $4.90

Bottom Triangle

7 19 13 lpi 300x261 3 Oil and Natural Gas Charts You Should See
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Laredo Petroleum Holdings
(LPI) has developed a bottom triangle pattern over the past 49 days.

The price seems to have reached a bottom, showing signs of reversal as it has broken upward after a period of uncertainty or consolidation. A bottom triangle shows two converging trendlines as prices reach lower highs and higher lows. Volume diminishes as the price swings back and forth between an increasingly narrow range reflecting uncertainty in the market direction. Then well before the triangle reaches its apex, the price breaks above the upper trendline with a noticeable increase in volume, confirming this bullish pattern as a reversal of the prior downtrend.

Target Price: $26.25 – $27.25

Diamond Bottom

7 19 13 vlccf 300x259 3 Oil and Natural Gas Charts You Should See
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Knightsbridge Tankers
(VLCCF) has developed a diamond bottom pattern over the past 126 days, making this a longer-term trade than the others.

The price seems to have reached a bottom, showing signs of reversal as it has broken upward after a period of uncertainty or consolidation. The diamond bottom pattern begins during a downtrend as prices create higher highs and lower lows in a broadening pattern. Then the trading range gradually narrows after the highs peak and the lows start trending upward. When the price breaks upward out of the diamond’s boundary lines, it marks a significant reversal to a new uptrend.

Target Price: $9.50 – $9.90

 

InvestorPlace advisor John Lansing tracks the charts all day and offers expert technical analysis in his day trading, options and trading services: Power Trading at the OpenParabolic Options and Trending123.  Trending123 members receive access to the Trending123 Pattern Scan powered by Recognia free as part of their membership.


Article printed from InvestorPlace Media, http://investorplace.com/247trader/3-oil-and-natural-gas-charts-you-should-see/.

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