Enterprise Products Partners (EPD) has been in a trading range for around a year but it could soon see a resolution on the upside in the coming weeks. Let's explore the latest charts and indicators.
In this daily bar chart of EPD, below, we can see two uptrends and two downtrends. The first downtrend was from July to early November. The second downtrend has been shorter -- from late January until last March. Notice how the On-Balance-Volume (OBV) line turns up with the price action in early November? Notice how the OBV line is inching higher from late March? OK? Now look at the Moving Average Convergence Divergence (MACD) oscillator, which signaled a cover shorts buy signal in early November and another signal in late March.
In this weekly chart of EPD, below, we can see how prices just closed back above the flat 40-week moving average line. The weekly OBV line looks like it is turning up again with prices and the MACD oscillator could soon cross to the upside for a fresh go long signal.
Bottom line: Go long or add to longs on EPD on a close above $28.50 and risk a close below $27. $34 is our initial upside price objective.