SCL trade ideas
Watch This Intra-day Level On SLB $SLB has chart support around the $89.00 level. That level was a previous breakout point on the 60 minute chart, which will now be chart support. There is also a rising 200-period moving average (SMA) just below that level. The $89.00 area is a likely intra-day bounce level - for a day trade.
SLB bullish triangle and flag implies 10%-20% upsideMassive 5-year triangle in SLB shares has come to a conclusion because the trendline connecting the "highest lows" across the previous rally highs has been surpassed, suggesting that the selling pressure is off of the stock.
I noted four other previous rally's in SLB pasted onto the most recent low for reference. I simply thought it was interesting to see how fast it has rallied at times in the past. This stock gets into momentum stages very quickly.
The recent breakout occurred from a multi-month sideways "box" or accumulation zone labeled in green. Old resistance levels existed that SLB had to get through, but now that both resistance levels have been crossed, it appears that SLB is set to grind out a rally to higher levels near 90, then 100.
I believe SLB will outperform the market also, so if you plot this stock against the SP500 using SPY, it may be important to keep an eye on SLB/SPY to make sure that ratio is plotting along too during the course of this rally.
Cheers.
Tim 3:29PM EST, Wednesday, Aug 28, 2013
SLB long set up UPDATE (Breakout)I adjusted the idea based on my position. Reward-risk is a little below 2 but I still feel SLB can go higher.
