The Hot List: 3 Oversold Oil Stocks for Short Term Traders
Just about everything oil-related was on the move higher on the first trading day of the week. And if buyers merely overlooked the three oversold oil names in today’s report during Monday’s overall buying spree in black gold, continued “sale” prices may be just what the market needs in order to coax traders and active investors back into these stocks.
Shares of Crosstex Energy (XTXI) for example, have pulled back for two days in a row, three out of the past four. The stock is only recently off some of its highest levels of the year, pulling back by just over 4% in Monday’s trading as traders continue to take profits. The profit-taking in XTXI has been strong enough to put the stock in technically oversold territory ahead of trading on Tuesday.
Also closing lower ahead of Tuesday’s trading is CVR Energy Inc. (CVI). Shares of CVI are not as oversold as those of XTXI. CVI has closed lower for two out of the past four days (three out of six), slipping by nearly 3% on Monday alone.
Rounding out our trio of oil and gas refiners pulling back in bull market territory is Western Refining Inc. (WNR). Like CVI, shares of Western Refining has oscillated between up days and down days for the past week, finishing on the downside by 4% heading into trading on Tuesday. Traders should note that WNR is trading essentially on its 200-day moving average and will trade below that level on any weakness in the coming days.
All three stocks in today’s report were available from research and data available from The Machine. To learn more, click here.
David Penn is Editor in Chief of TradingMarkets.com