Will OVINTIV INC breakout?

Our stock screener has flagged OVINTIV INC (NYSE:OVV) as a potential breakout candidate. This occurs when the stock shows signs of consolidation after a notable upward trend. While we can't predict the actual breakout, it's worth monitoring NYSE:OVV for potential movement.

Technical analysis of NYSE:OVV

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.

Overall OVV gets a technical rating of 7 out of 10. Although OVV is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• The long and short term trends are both positive. This is looking good!
• OVV 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.
• Volume is considerably higher in the last couple of days, which is what you like to see during a strong movement up.
• When comparing the yearly performance of all stocks, we notice that OVV is one of the better performing stocks in the market, outperforming 87% of all stocks. However, this overall good ranking is mostly due to the recent strong move.
• OVV is an average performer in the Oil, Gas & Consumable Fuels industry, it outperforms 65% of 217 stocks in the same industry.
• OVV 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 OVV is lagging the market slightly.

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

How do we evaluate the setup for NYSE:OVV?

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:OVV is 10:

OVV has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 48.33. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 47.25, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for OVV in the last couple of days, which is a good sign. Very recently a Pocket Pivot signal was observed. This is another positive sign.

Trading breakout setups.

To potentially initiate a trade, it is common practice to wait for the stock to break out of the consolidation zone. This breakout signifies a potential upward movement, and traders may enter the stock at that point. Conversely, if the stock falls back below the consolidation zone, it may be sold at a loss.

Disclaimer: This article is not intended to provide trading advice. It is crucial to conduct your own analysis and consider your own observations and trading style when making investment decisions. The article solely presents technical observations and should not be relied upon as a sole basis for trading.

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

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.