Based on the current market data and recent analyst reports, here's a concise analysis of OXY's trading outlook:
Technical Analysis
The stock is currently trading at $47.51 during regular market hours, showing a positive momentum with +1.56% gain. The stock is approaching its Fibonacci resistance level of $49.47, while having support at $46.36. The RSI at 36.14 indicates the stock is approaching oversold territory but hasn't reached extreme levels yet.
Recent Developments
China's new 10% tariff on U.S. crude oil imports starting February 10, 2025, could potentially impact OXY's export business. However, the impact might be limited as U.S. crude only accounted for 1.7% of China's total imports in 2024.
Analyst Sentiment
Recent analyst actions show mixed sentiment:
- Goldman Sachs downgraded OXY to Sell with a $45 price target on January 31, 2025, citing concerns about capital allocation in a range-bound oil price environment
- Truist Securities maintains Hold rating with a $58 price target, expecting firmer commodity prices in 2025
Conclusion
SELL recommendation at current levels due to:
- Technical resistance ahead
- Recent negative analyst sentiment
- Potential headwinds from Chinese tariffs
- RSI indicating potential further downside