Oklahoma STACK Oil Stock JERICHO OIL Reversal at Support...

originally published Monday, March 05, 2018

Printable Version

All Oil & Gas Stocks

You may recall that we took a nice profit in Jericho Oil back in January, selling it right at the top. The company continues to be liked for its intrinsic strengths, but nevertheless it looked set to react back significantly and it has.

When we sold it we figured that we may buy it back on such a reaction. Thus it is interesting to observe that after a further loss a large high volume bull hammer appeared on the chart on Friday, with its intraday low right at the support line. This is a sign that it has hit at least a temporary bottom, and with the larger uptrend still in force as shown by the moving average alignment, it looks like the time has come to buy it back, especially if it should dip towards the low of the hammer, and a close stop may be set beneath Friday’s intraday low, just in case it doesn’t hold.

Conclusion: Jericho is rated a buy again here, especially on any dip towards Friday’s intraday low, with a stop just beneath it, say at C$0.685. The larger outlook for the oil sector remains grim, this is a trading setup particular to Jericho.

Jericho Oil website

Jericho Oil Corp, JCO.V, JROOF on OTC, closed at C$0.76, $0.586 on 2nd March 18.

Posted at 5.05 am EST on 5th March 18.

The above represents the opinion and analysis of Mr Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr. Maund is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment or securities advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market technical analyst, Clive Maund is not a Registered Investment Advisor or Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks cannot be construed as a recommendation or solicitation to buy and sell securities.