Watch for a bounce on $CVE – October 3, 2023

by DAN
This is Scott with your Chart of the Day. I want to take a look at Cenovus Energy ( NYSE: CVE ).

While the market has just been kind of blah lately, we have seen energy stocks really hold things up. As you can see from Cenovus ( NYSE: CVE ), this is, technically, still in an uptrend because the stock is above its 50-day moving average.

Now, I’ve learned from Dan Fitzpatrick at Stock Market Mentor, that you typically don’t want sharp moves down to support because those aren’t really reliable for solid bounces. But if we do see a bounce we typically like to see it around key moving averages like we have here with Cenovus ( NYSE: CVE ).

I think it could be possible, if we get a rebound in the market, for this stock to at least try and get back above the 21-day and the 8-day exponential period moving average. And, potentially, continue this uptrend higher, if energy cooperates.

This is definitely a stock that I am watching to have support around the 50-day moving average. And have a move over $20.20 on higher-than-average volume for a potential rebound trade.

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