Yesterday, Top Equity News highlighted oil stocks that have been strongly correlated with oil’s price. Today we are going to focus on three companies from that list. Each member of the trio triggered TEN’s breakout watch screen.
Copano Energy, L.L.C. (CPNO) recently busted trough a multiple top at $35 and appears to be on its way higher. The last time Copano made a similar move, shares went from $22.50 to $35ish.
TEN rates the oil & gas pipelines company as a short-term trade only. Many of CPNO’s key fundamentals are elevated according to our checklist. Top equity puts a near-term price target at $41 for CPNO with a stop loss order at $34.33. Shares closed last night at $36.78.
According to Jim Cramer, National Oilwell Varco, Inc (NOV) is “the late-cycle oil play, the one you call when your drilling equipment is worn out or when it is worth it to flat-out drill because the gains are going to be so bountiful.“
He closed with, “It’s time to get into National Oilwell Varco, because business is great, and you can only bet that business is getting much better as oil stays above $100.”
TEN agrees with Jim and believes NOV could be on its way to $100 after breaking out to a new high on Wednesday. As for downside, we would limit losses at $82.78.
The final stock to make it out of our screening grinder is Rowan Companies, Inc. (RDC). Rowan provides onshore and offshore oil and gas contract drilling services. Shares of RDC have been stepping their way up on solid volume.
Perhaps Wall Street is bidding up RDC in advance or their earnings next Tuesday. The company has done an excellent job of posting profits ahead of the street’s consensus; however, the price hasn’t fared as well. In the days surrounding the announcement, shares have fallen three announcements in a row, and four of the last five.
Top Equity believes you might have a chance to own this one around $36.75 and would look to add it that neighborhood. From there, RDC could be willing to take the next step up.
Trading Ideas: A Trio of Oil Stocks is an article from: 
