Saturday, May 4, 2013

Big Oil Breaks Out

A few post ago I looked at CME gold and the large descending triangle which is a bearish reversal pattern. We saw gold complete a typical A-B-C type correction. as  detailed from the price peak and a zigzag down to (A) then zigzag up to (B) and then the collapse down to the final killer wave at (C).

This post we look at two U.S. integrated energy giants, Chevron Corporation (CVX) and Exxon Mobil Corporation (XOM) which have over the past 36 months been building huge ascending triangles. The ascending triangle is a bullish pattern. It can signal the continuation of an upward trend or is can signal a positive reversal of a down trend. The other rule is the measured move which in the examples of our two energy giants seems to be considerable. Can you estimate the measured moves in today’s chart?


Anonymous said...


Chevron will go up $40, the height of the triangle, to $160.

XOM will go to $120.


dh12 said...

But XOM had a similar ascending triangle from 2/2/07 to 6/6/08 that failed. No guarantee this time it will break up to the upside