Stock of the day: Chevron

In today’s Stock of the Day, we take a look at Chevron, which is benefiting directly from the renewed strength in oil prices. As is often the case, Chevron’s performance is tightly correlated with crude, and the current upswing in energy markets is translating into clear technical strength for the stock.

Looking at the chart, we can see that Chevron defended a long-term uptrend line toward the end of 2024, a key support marked with red. That bounce laid the foundation for the recent rally.

The stock then broke out of a descending channel, marked with green lines, and also cleared a horizontal resistance (now support) near the $165 area, marked in yellow, which had been a critical barrier throughout the second half of 2024.

With momentum now firmly on the side of the bulls, Chevron is approaching its next key resistance, which is the orange zone — the highs from 2023. A test of that area seems highly likely in the short term.

As long as Chevron stays above the broken upper boundary of the descending channel, the sentiment remains positive, and the trend is upward. A close back below that green line would question the strength of this breakout, but for now, bulls are clearly in control.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-chevron-2