• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • Trifecta Stocks
  1. Home
  2. / Investing
  3. / Stocks

Halliburton Finally Is Showing Some Bottoming Price Action

A key technical sign indicates forward-looking investors slowly have been going long into weakness in shares of the oil services giant.
By BRUCE KAMICH
Oct 21, 2019 | 08:11 AM EDT
Stocks quotes in this article: HAL

If you watched "Mad Money" last Friday you learned that Jim Cramer's game plan for this week begins with earnings from Halliburton Co. (HAL) , which released its third-quarter numbers here on Monday morning. Earnings per share for the oil services giant were in line with expectations but Halliburton missed on revenue. HAL was trading flat in pre-market activity. Let's check out the charts and indicators before the opening bell.

In this daily bar chart of HAL, below, we can see that the share price of HAL has been weak the past 12 months. Prices are testing the declining 50-day moving average line but are well below the bearish 200-day line. The daily On-Balance-Volume (OBV) line has been holding its low since June, giving us a subtle suggestion that sellers are no longer as aggressive as they were in prior months. The 12-day price momentum study shows that downside momentum has slowed from May to August to now, which signals that forward-looking investors have been slowly going long into weakness. This setup can precede a bottom pattern or even a rally.

In this weekly bar chart of HAL, below, we can see that prices have suffered the past three years but the picture is mixed now. HAL is still below the declining 40-week moving average line but the weekly OBV line looks like it is trying to bottom while the 12-week price momentum study in the lower panel shows a large bullish divergence between momentum slowing even though prices are still in a downtrend. The pace of the decline is slower now at these lower and more attractive prices.

In this Point and Figure chart of HAL, below, we can see a small accumulation pattern and a modest upside price target.

Bottom line strategy: Patient investors could consider going long HAL if they can risk a close below $16.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are prohibited from trading individual securities.

TAGS: Earnings | Investing | Stocks | Technical Analysis | Energy | Oil Equipment/Services | Mad Money | Real Money

More from Stocks

A Hawkish Fed Will Make a V-Shaped Bounce Difficult to Sustain

James "Rev Shark" DePorre
Jun 27, 2022 8:15 AM EDT

Such bounces seemingly have been the norm for a while, but circumstances this time are quite different than any time since 2008-2009.

Let's Check Nike's Charts Ahead of Monday's Earnings

Bruce Kamich
Jun 27, 2022 8:12 AM EDT

Here's what traders who are still long NKE could continue to do.

Russia Defaults, G7, NATO, Market Catalyst, Earnings, Trading Wells Fargo

Stephen Guilfoyle
Jun 27, 2022 7:40 AM EDT

This is the first actual Russian default on foreign denominated debt since the Bolsheviks repudiated the Czar's debt-load in 1918.

The Media Influences You…to Your Financial Detriment

Paul Price
Jun 27, 2022 7:00 AM EDT

Bad news sells, and nobody wants to make a bold call to buy when it's still possible that things could get worse.

Investors Bullish as Growth/Tech Stocks Rally

Helene Meisler
Jun 27, 2022 6:00 AM EDT

A rally of growth/tech stocks is the best way to convert skeptics.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 12:04 AM EDT PAUL PRICE

    Two Good Signs -- Especially for Small-Cap Investors

  • 12:10 AM EDT PAUL PRICE

    More Insider Buying in American Woodmark (AMWD)

    American Woodmark , which I've discussed here fr...
  • 08:55 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    The 10 personality traits of successful traders an...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2022 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login