SLB ready for an upmove
Short-term outlook: bullish.
The stock is currently bottoming out of wave 4 and just starting the developping process of impulse wave 5 as it´s attempting to break up from the consolidation pattern that it´s been forming in the past few months.
The Point and Figure horizontal count gave us a target at 114,4 ( start counting from the O´s column entering the pattern to the exit X´s column out of it) , so the long entry at current price level should be protected with a stop-loss just below the lowest low of the bottom formation at 75$. Risk-Reward Ratio = 2.
The price has encountered support ( and then resistence ) at 50% Fibo retracement level confirming the importance of this price level.
Fundamental view:
The stock has got interesting fundamentals in general, good ratios, in part due to the latest fall in oil prices which has had the effect of trimming most of the fundamental metrics.
An assement of the Oil Market and Sentiment should be considered as a complementary indicator of indubitable importance in our tough assignment of estimating the direction and amplitude of the stock´s next move.
