Will FRONTLINE PLC breakout?

Our stockscreener has identified a possible breakout setup on FRONTLINE PLC (NYSE:FRO). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NYSE:FRO for potential opportunities.

Insights from Technical Analysis

As part of its analysis, ChartMill provides a comprehensive Technical Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various technical indicators and properties.

We assign a technical rating of 9 out of 10 to FRO. This is due to a consistent performance in both the short and longer term time frames. Also compared to the overall market, FRO is showing a nice and steady performance.

• Both the short term and long term trends are positive. This is a very positive sign.
• When comparing the yearly performance of all stocks, we notice that FRO is one of the better performing stocks in the market, outperforming 96% of all stocks. We also observe that the gains produced by FRO over the past year are nicely spread over this period.
• FRO is one of the better performing stocks in the Oil, Gas & Consumable Fuels industry, it outperforms 93% of 216 stocks in the same industry.
• FRO is currently trading near its 52 week high, which is a good sign. The S&P500 Index however is also trading near new highs, which makes the performance in line with the market.
• FRO is currently showing a bull flag pattern! A bull flag pattern occurs when prices pull back slightly after a strong rise up. This may be a nice opportunity for an entry.

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

Looking at the Setup

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NYSE:FRO scores a 9 out of 10:

Besides having an excellent technical rating, FRO also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 22.67. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 21.45, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for FRO in the last couple of days, which is a good sign.

How to trade NYSE:FRO?

A breakout opportunity may arise when the stock surpasses the current consolidation zone and reaches new highs. Traders often wait for this breakout before considering buying the stock. To manage risk, a stop loss order could be placed below the consolidation zone to limit potential losses.

Of course, there are many ways to trade or not trade NYSE:FRO and this article should in no way be interpreted as trading advice. The article is purely based on an automated technical analysis and just points out the technical observations. Always make your own analysis and trade at your own responsibility.

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.