Halliburton, Schlumberger Stay Near Or In Buy Zones

March 31:

Stocks in the oil and gas field service group are showing strength.

Several cleared buy points recently. Others are notching new highs.

Halliburton (HAL) and Schlumberger (SLB), the two biggest stocks in the group by market cap, broke above buy points recently.

Houston-based Halliburton cleared a stage-two cup base in February, but in a tentative fashion. Daily volume was unimpressive as the stock cleared a 56.62 entry. However, weekly volume was 29% stronger than the previous week.

The stock eased in the first half of March, then recrossed the buy point, again in timid volume. Fairly strong volume kicked in March 21, when trade rose 34% above average — still below the 40% associated with a valid breakout.

The stock is bobbing above and below the 5% buy zone.

The Street expects Halliburton's earnings to rise 25% this year, which would be the best since 2011.

Schlumberger, which also is based in Houston, popped over a 93.94 buy point intraday in a saucer-with-handle base. Volume was 19% above average. However, the stock closed above the buy point the next day in volume 56% above average.

The buy zone extends to 98.64.

The Street sees 20% EPS growth for Schlumberger this year.

While stocks shouldn't be bought with the market in a correction, the field service group has other stocks worth watching.

Source: http://news.investors.com/Investing-IBD-Industry-Themes/033114-695294-oil-stocks-showing-strength.htm?ven=rss&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+InvestingRss+%28Investing+RSS%29