Kinetik Holdings (KNTK) is the IBD Stock of the Day, with its stock price rallying by 70% in 2024. The company’s recent pullback has formed a six-week flat base at its 50-day moving average, offering an early entry point for investors. The official buy point is at $62.55.
Kinetik Holdings is a pipeline company that operates in the energy sector. Recent data from the Energy Information Administration shows a decrease in crude oil inventories, with stockpiles falling by 1.2 million barrels. This has led to an increase in oil prices, with West Texas Intermediate futures rising 2.5% to $73.50 per barrel.
The flat base pattern is one of three positive chart patterns for technical analysis. It typically occurs after a stock has advanced off a “cup with handle” or “double bottom” pattern and moves sideways in a tight price range for at least five weeks without correcting more than 15%.
Other energy stocks, such as EQT (EQT) and Cheniere Energy (LNG), are also showing signs of strength. EQT stock has flashed an early entry point with a six-week flat base, while LNG stock surged 3.3% after rebounding from its 50-day line.
Investors looking to capitalize on the energy sector’s trend may want to consider Kinetik Holdings as an early entry point. However, it is essential to conduct thorough research and analysis before making any investment decisions.
Source: https://www.investors.com/research/ibd-stock-of-the-day/kinetik-stock-entry-oil-prices-oxy-stock-eqt-lng