Oil has been under pressure for more than a year and that's reflected in the big oil names. This one has an ominous "M" pattern that has yet to play out.
We see more downside coming here, at least a test of the October lows and perhaps a bit more, to the $105 area. The Relative Strength Index (RSI) is horrible and money flow is bearish.
Moving average convergence divergence (MACD) crossed over in early January and is on a sell signal. CVX is oversold but may stay that way a bit longer.
A miserable chart here as the aircraft maker continues to raise more red flags. Money flow is bearish, the cloud is red and expanding and MACD is again on a sell signal.
BA's Relative Strength Index (RSI) is poor but very oversold; we might see a rally back to $320 or so, but that would be a chance to short this stock again.
Even right now could yield some gains if the stock breaks $300.
This commentary is an excerpt from "5 Bearish Bets" a weekly feature sent to subscribers of Trifecta Stocks. Click here to learn more about this portfolio, trading ideas and market commentary product.
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-- Bob Lang and Chris Versace are co-portfolio managers of Trifecta Stocks.