EXXON MOBIL CORP is setting up nicely for a breakout.

A possible breakout setup was detected on EXXON MOBIL CORP (NYSE:XOM) 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:XOM.

Zooming in on the technicals.

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.

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

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, XOM did better than 98% of all other stocks. On top of that, XOM also shows a nice and consistent pattern of rising prices.
• XOM is one of the better performing stocks in the Oil, Gas & Consumable Fuels industry, it outperforms 87% of 388 stocks in the same industry.
• XOM is currently trading near its 52 week high. This is a good sign, certainly because the S&P500 Index is not trading near new highs.
• In the last month XOM has a been trading in the 107.48 - 114.66 range, which is quite wide. It is currently trading near the high of this range.
• Prices have been consolidating recently, this may present a good entry opportunity.

How does the Setup look for NYSE:XOM

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:XOM this score is currently 8:

Besides having an excellent technical rating, XOM 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 113.95. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 113.15, a Stop Loss order could be placed below this zone.

Trading setups like NYSE:XOM

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.

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 analyzer.