Oil services company Schlumberger Ltd (SLB) is scheduled to report their earnings Friday morning. Let's see how the charts are positioned.
In this daily bar chart of SLB, below, we can see that SLB has been making higher lows and higher highs the past 12 months - the simple definition of an uptrend. Prices surged quickly from mid-December in its latest rally. SLB is trading above the rising 50-day moving average line as well as the rising 200-day line.
The On-Balance-Volume (OBV) line shows a base the past five months and a move over the October high would be encouraging. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line.
In this weekly Japanese candlestick chart of SLB, below, we can see that prices have been firming since the early 2020 pandemic low. Prices are trading above the rising 40-week moving average line.
The weekly OBV line is up from its March 2020 low but stuck in a sideways pattern. The MACD oscillator has been above the zero line the past year and just turned upwards to a fresh buy signal.
In this daily Point and Figure chart of SLB, below, we can see a potential price target in the $51 area.
In this weekly Point and Figure chart of SLB, below, we used close only price data to get to a $78 price target.
Bottom line strategy: I have no special knowledge of what SLB could report on Friday. In our October 20 review we wrote that "Traders should continue to hold longs from the $28 area." The pullback into December may have stopped out some traders. If still long our price targets are $51 and now $78.
