As Pioneer Natural Resources Blazes a Trail Higher, We Have New Price Targets

When we reviewed the charts of Pioneer Natural Resources (PXD) on December 28 we wrote that, “Traders could repurchase PXD at current levels or on strength above $189.74. Risk to $165 this time. The $222 area is our price objective.” PXD reached our price target in February and has continued much higher. In our April 7 review we continued our bullish stance.

Let’s check on the charts again.

In the updated daily bar chart of PXD, below, we can see that PXD has continued its upward trend. There was a small “shakeout” in April where prices retested and temporarily broke the rising 50-day moving average line.

Trading volume has remained active and the On-Balance-Volume (OBV) line has continued to rise to confirm the price increase and tell us that buyers of PXD are more aggressive than sellers. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line

In this weekly Japanese candlestick chart of PXD, below, we can see that prices are pointed higher with no visible top reversal patterns. An upper shadow and a doji in the past two weeks is a minor caution signal. Prices are above the rising 40-week moving average line.

The weekly OBV line shows strength the past two years. The MACD oscillator is pointed up but has narrowed.

In this daily Point and Figure chart of PXD, below, we can see a new $354 price target.

In this weekly Point and Figure chart of PXD, below, we can see a price objective in the $375 area.

Bottom-line strategy: Traders who went long PXD back in late December should continue to hold those profitable positions. Raise stops to $241 from $221. Our new price targets are the $331 to $354 area followed by $375.