Will MARATHON OIL CORP breakout?

Our stock screener has detected a potential breakout setup on MARATHON OIL CORP (NYSE:MRO). 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:MRO.

What is the technical picture of NYSE:MRO telling us.

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

Taking everything into account, MRO scores 8 out of 10 in our technical rating. Although MRO is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• Both the short term and long term trends are positive. This is a very positive sign.
• In the last month MRO has a been trading in the 24.62 - 26.99 range, which is quite wide. It is currently trading in the middle of this range where prices have been consolidating recently, this may present a good entry opportunity, but some resistance may be present above.
• When comparing the yearly performance of all stocks, we notice that MRO is one of the better performing stocks in the market, outperforming 81% of all stocks. However, this overall good ranking is mostly due to the recent strong move.
• MRO is part of the Oil, Gas & Consumable Fuels industry. There are 217 other stocks in this industry, MRO did better than 62% of them.
• MRO is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so MRO is lagging the market slightly.

Check the latest full technical report of MRO for a complete technical analysis.

How do we evaluate the setup for NYSE:MRO?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, NYSE:MRO has a 9 as its setup rating, indicating its current consolidation status.

Besides having an excellent technical rating, MRO 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 26.84. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 25.85, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive sign.

Trading breakout setups.

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.

Every day, new breakout setups can be found on ChartMill in our Breakout screener.

Keep in mind

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.