There are signs that NYSE:NE may be ready to breakout.

A possible breakout setup was detected on NOBLE CORP PLC (NYSE:NE) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:NE.

Technical analysis of NYSE:NE

ChartMill employs a sophisticated system to assign a Technical Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple technical indicators and properties.

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

• The long and short term trends are both positive. This is looking good!
• When comparing the yearly performance of all stocks, we notice that NE is one of the better performing stocks in the market, outperforming 96% of all stocks. On top of that, NE also shows a nice and consistent pattern of rising prices.
• NE is one of the better performing stocks in the Energy Equipment & Services industry, it outperforms 70% of 66 stocks in the same industry.
• NE 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.
• In the last month NE has a been trading in the 49.43 - 55.34 range, which is quite wide. It is currently trading near the high of this range.

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

How do we evaluate the setup for NYSE:NE?

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:NE has a 9 as its setup rating, indicating its current consolidation status.

Besides having an excellent technical rating, NE 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 53.79. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 52.81, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading setups like NYSE:NE

For a potential trade one would typically wait until the stock breaks out of the consolidation zone to enter the stock and it could be sold again for a loss when it would fall back below the zone.

This article should in no way be interpreted as trading advice. You should always make your own analysis and trade or not trade based on your own observations and style. The article is based purely on some technical observations.

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.