Exxon Mobil Corp. (NYSE: XOM) is one of the largest oil and gas companies in the world. In this post, we will analyse what is next for XOM in the coming weeks.
The Big Picture
The XOM weekly chart shows a corrective structure with a descending bias. The bearish corrective cycle began in July 2014, when it found sellers once XOM reached $104.76. The higher grade correction met the minimum requirement once the price tested the $65.32 support.
We foresee that this low ($64.65) establishes a new connector that starts a bullish cycle of upper degree. Long term, following the channelling proposed by Elliott, XOM could reach $113.59. The invalidation level for the long-term scenario is below $64.65.
Short-term, we see how the price started a rebound in the last week of December 2018. This movement led XOM to reach $83.49. The setback was not enough to pierce the short-term invalidation level at $70.32.
Within this Scenario, we expect XOM to make a new high, in the area of $84.14, which converges with the downward trendline. In turn, the price could extend the upward movement to $89.70.