Chevron Corporation trade idea: How to play the short term trend accelerating lower

Strongest trend lower

Using the VolatilityMarkets software to structure a Chevron Corporation trend following trade idea.

Part 1) Introduction

VolatilityMarkets suggests trend-inspired trades that capitalize on market trends.

In the short term Chevron Corporation has been accelerating lower. In the long term Chevron Corporation has been accelerating lower. With the short term trend being the stronger of the two, we propose a short trade idea with a time horizon.

Part 2) Trade idea details

2A) Trade idea graph

2b) Intraday predictions

Sell $ 140,127 USD of Chevron Corporation, take profit at $ 174.4028 level with 25.0% odds for a $ 1,712 USD gain, stop out at $ 177.82 with 50.02% odds for a $ 1,000 USD loss through O/N time horizon

Part 3) CVX trend analysis

CVX last price was $ 176.56. The short term trend accelerating lower is stronger than the long term trend accelerating lower. This trade goes short when the last change was lower and accelerating.

Part 4) CVX value analysis

Over the past 20 days, the CVX price increased 9 days and decreased 11 days. For every up day, there were 1.22 down days. The average return on days where the price increased is 1.1329% The average return on days where the price decreased is -1.208% Over the past 20 Days, the price has decreased by -3.25% percent. Over the past 20 days, the average return per day has been -0.1625% percent.

Part 5) CVX worst/best case scenario analysis

Within 1 week, our worst case scenario where we are 95% certain that this level won't trade for CVX, is $ 172.8653 , and the best case scenario overnight is $ 180.2547 . levels outside of this range are unlikely, but still possible, to trade. We are 50% confident that $ 177.82 could trade and that $ 174.4028 could trade. These levels are within statistical probability.

Key takeaways

• Price today $ 176.56.

• Over the past 20 days, the CVX price increased 9 days and decreased 11 Days.

• For every up day, there were 1.22 down days.

• The average return on days where the price increased is 1.1329%.

• The average return on days where the price decreased is -1.208%.

• Over the past 20 Days, the price has decreased by -3.25% percent.

• Over the past 20 days, the average return per day has been -0.1625% percent.

• Over the past 20 days, The price has on average been accelerating: $ 0.1732 per day lower.

• Over the last session, the price decreased by $ -6.11.

• Over the last session, the price decreased by -3.4606 %.

• Over the last session, the price accelerated by $ 4.97.