Devon Energy (DVN) is slated to report their latest quarterly figures to shareholders after the close of trading Monday. Let's check out the charts and indicators.
In this daily bar chart of DVN, below, we can see that prices declined in June/early July but have firmed again after several tests of the rising 200-day moving average line. DVN has rallied back to test the underside of the declining 50-day moving average line.
The On-Balance-Volume (OBV) line weakened in June but has started to rise again in July telling us that buyers are again being more aggressive than buyers. The Moving Average Convergence Divergence (MACD) oscillator turned up in July and is now close to crossing above the zero line as we begin the month of August.
In this weekly Japanese candlestick chart of DVN, below, we can see a bottom reversal pattern in late June/early July as prices found support around the rising 40-week moving average line.
The weekly OBV line shows a three-year advance. The weekly MACD oscillator is narrowing above the zero line. A new buy signal could come in the weeks ahead.
In this daily Point and Figure chart of DVN, below, we can see an upside price target in the $73 area.
In this weekly Point and Figure chart of DVN, below, we can see a price target in the $90 area.
Bottom line strategy: I have no special knowledge of what DVN is going to report to shareholders tonight but I would approach DVN from the long side on available weakness ahead of earnings or on weakness Tuesday.
