HF Sinclair Corporation (DINO) is an energy company that manufactures and sells gasoline, diesel fuel, jet fuel, renewable diesel, specialty lubricant products, specialty chemicals, and specialty and modified asphalt, among other products. A Real Money subscriber asked for my technical take on the stock. Frankly, I wasn't familiar with the name but I liked the symbol as it reminded me of the Flintstones character.
Here goes!
In the daily bar chart of DINO, below, we can see that the shares have rallied strongly since early March. DINO is trading above the rising 50-day moving average line and above the rising 200-day line. It looks like the uptrend accelerated when prices closed above $41.
The daily On-Balance-Volume (OBV) line has broken out over its February high to confirm the price breakout and price strength to date. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line.
In the weekly Japanese candlestick chart of DINO, below, we see a bullish chart with no top reversal signals. Prices broke out over the 2021 high and have continued higher. The slope of the 40-week moving average is positive and prices are not extended (overbought) relative to this indicator.
The weekly OBV line shows gains from early 2020 and that means there has been aggressive buying long before crude oil prices exploded higher. The MACD oscillator is in a clear bullish alignment above the zero line.
In this daily Point and Figure chart of DINO, below, we can see the strong rally in May (look for the "5" on the chart) and the $65 price target.
In this weekly Point and Figure chart of DINO, below, a price target of $89 is being projected.
Bottom-line strategy: DINO may not pull back to give traders a little better buying opportunity so you will need to buy at the market to get long. The $65 area is our first price target and traders should risk to $45 for now.
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