Devon Energy - DVN - close: 69.86 change: +1.18

Stop Loss: 68.75
Target(s): 74.75
Current Option Gain/Loss: Unopened
Time Frame: exit PRIOR to earnings on May 7th
New Positions: Yes, see below

Company Description

Why We Like It:
DVN is in the basic materials sector. The company explores for and produces oil, natural gas and NGLs. Most of their properties are in North America and include some of the popular shale-oil regions. Wall Street seems pretty bullish on the name with multiple upgrades in the last six weeks and new price targets in the $76-80 zone. DVN did spend the last two weeks consolidating sideways and digesting its late March rally. Now it seems poised to break out higher.

DVN challenge resistance near $70.00 today. The intraday high was $70.27. I am suggesting a trigger to buy calls at $70.35. If triggered our target is $74.75 but we will plan on exiting prior to earnings on May 7th. FYI: The Point & Figure chart for DVN is bullish with a $95 target.

Trigger @ 70.35

- Suggested Positions -

buy the May $70 call (DVN1417E70) current ask $1.74

Annotated Chart:

Entry on April -- at $---.--
Average Daily Volume = 3.7 million
Listed on April 16, 2014