Bull Signal to Watch: Antero Resources Stock
Antero Resources (AR) has pulled back to its 40-month moving average, a historically bullish signal.
Natural gas stock Antero Resources Inc (NYSE:AR) has pulled back from its June 20 three-year peak of $44.02, last seen up 1.7% to trade at $32.13 today.
Support at the $30 level has helped keep losses in check, with the shares still sporting a 17% year-over-year lead.
According to Schaeffer's Senior Quantitative Analyst Rocky White, the stock is within 3% of its 40-month moving average after remaining above it 80% of the time in the past 20 months.
This signal has occurred two other times in the past 20 years, after which the stock was higher one month later 100% of the time with an average 6.4% gain.
A move of similar magnitude from AR's current perch would put it at $34.18. An unwinding of pessimism in the options pits could provide tailwinds as well.
Author's summary: Antero Resources stock shows a bullish signal.