ESSO : Heading for strongest weekly close since July 2008 (Target @ 9.8)
February 23, 2011 Leave a comment
The last time ESSO posted a weekly close above 8 was back in the good old days of very expensive oil – July 2008. That it looks as if it will manage t close north of 8 this week is therefore good news, and possibly an invitation to go long for those who have ignored the stock for the past 2 years or so.
We think it will rally to 9.80, even 10 or so by the end of Q1, and expect it will fly when it passes 8.40-8.50. Watch for the telltale volume surge, because when it passes, the move should be quick and tradable.
Entry at 7.8 or so if lucky, or consider a follow buy trade should volume look convincingly and NYMEX crude futures pop the ton Thursday or Friday.