Good technical signals and a possible breakout for CANADIAN NATURAL RESOURCES.

Our stock screener has spotted CANADIAN NATURAL RESOURCES (NYSE:CNQ) as a possible breakout candidate. A technical breakout setup pattern occurs when the stock is consolidating after a nice uptrend. Whether the actual breakout occurs remains to be seen of course, but it may be interesting to keep an eye on NYSE:CNQ.

Technical analysis of NYSE:CNQ

Every day, ChartMill assigns a Technical Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various technical indicators and properties.

We assign a technical rating of 7 out of 10 to CNQ. Both in the recent history as in the last year, CNQ has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, CNQ did better than 83% of all other stocks.
• CNQ is one of the better performing stocks in the Oil, Gas & Consumable Fuels industry, it outperforms 79% of 217 stocks in the same industry.
• CNQ is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so CNQ is performing more or less in line with the market.
• In the last month CNQ has a been trading in the 61.66 - 68.30 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

For an up to date full technical analysis you can check the technical report of CNQ

How do we evaluate the setup for NYSE:CNQ?

ChartMill takes into account not only the Technical Rating but also assigns a Setup Rating to each stock. This rating, on a scale of 0 to 10, reflects the degree of consolidation observed based on short-term technical indicators. Currently, NYSE:CNQ exhibits a 8 setup rating, indicating its consolidation status in recent days and weeks.

Besides having an excellent technical rating, CNQ also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 66.95. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 65.19, a Stop Loss order could be placed below this zone.

How to trade NYSE:CNQ?

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents technical observations generated by automated analysis but does not guarantee any trading outcomes. Always trade responsibly and make independent judgments.

Our Breakout screener lists more breakout setups and is updated daily.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.