Technical Signals Point to a Possible Breakout for MPLX LP.

Our stock screener has detected a potential breakout setup on MPLX LP (NYSE:MPLX). This breakout pattern is observed when a stock consolidates following a strong upward movement. It's important to note that this pattern is based on technical analysis, and the actual breakout outcome is uncertain. However, it might be worth keeping an eye on NYSE:MPLX.

Deciphering the Technical Picture of NYSE:MPLX

Every day ChartMill assigns a Technical Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple technical indicators and properties.

Overall MPLX gets a technical rating of 7 out of 10. This is due to a consistent overall performance, although we see some doubts in the very recent evolution. In the medium time frame things are still looking good.

• The long term trend is positive and the short term trend is neutral. The long term trend gets the benefit of the doubt for now.
• Looking at the yearly performance, MPLX did better than 73% of all other stocks. We also observe that the gains produced by MPLX over the past year are nicely spread over this period.
• MPLX is one of the better performing stocks in the Oil, Gas & Consumable Fuels industry, it outperforms 71% of 217 stocks in the same industry.
• MPLX 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 MPLX is performing more or less in line with the market.
• In the last month MPLX has a been trading in a tight range between 35.06 and 36.80.

Our latest full technical report of MPLX contains the most current technical analsysis.

Why is NYSE:MPLX a setup?

Alongside the Technical Rating, ChartMill assigns a Setup Rating to evaluate the consolidation level of a stock. This rating, ranging from 0 to 10, is updated daily and considers various short-term technical indicators. The current setup rating for NYSE:MPLX is 8:

Besides having an excellent technical rating, MPLX 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 35.86. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 35.61, a Stop Loss order could be placed below this zone.

Trading breakout setups.

One way to play this would be to wait for the actual breakout to happen and buy when the stock breaks out above the current consolidation zone. A possible place for a stop loss would be below this 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.

More breakout setups can be found in our Breakout screener.

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.