Setup for Trading DVN [Devon Energy] – Nov. 16, 2022

Oil and gas stocks have some pretty strong macro tailwinds that could push them even higher than they’ve gone up to now. Those include winter, the continuing conflict between Russia and Ukraine, the massive fuel shortages in Western Europe and the eventual reopening of China, which would cause a large increase in energy demand.

DVN is a much more volatile stock than CVX, XOM and even OXY — but with that risk comes more reward, if you’re on the right side of the trade.

Now let’s see what the charts are saying: