APA, daily
APA, monthly
Summary
It was indeed a rather bullish day for Apache, as they announced a significant new oil/gas discovery in Texas.
The daily candle was a very large black-fail candle. Normally that would be bearish, and the upper spike is a clear failed attempt to break resistance of 58/59s.
However, seen on the bigger monthly chart, we have a core spike low of $31.90.. and since then, we've seen APA - along with many other mid/low tier energy stocks, effectively double in value.
Mid term trend is unquestionably bullish, not least as energy prices appear to have stabilised.
*Special note on the USD...
It remains very important for energy bulls to see the USD remain under the DXY 100 threshold. Clearly, the actions of the Fed in terms of rate policy will be a key variable in whether the current rally will continue all the way into spring 2017.
