EOG is pushing higher again this week, with price action tracking toward the top of its recent range and buyers showing renewed conviction. On the momentum front, the ADX (black line) has turned up from lower levels — a classic signal that the current uptrend is gaining strength — and the +DI remains comfortably above the –DI, reinforcing the bullish directional bias.

This technical strength in EOG is happening in the context of a broader market rotation: tech and AI-related stocks have pulled back recently, while industrial and energy sectors have been outperforming, drawing more leadership from cyclical, hard-asset names. That shift has helped stocks like EOG — an energy name with strong cash flows and improving trend indicators — attract buying interest as risk appetites migrate out of growth and into value/cyclicals.

If the ADX continues to climb alongside rising price, it points to strengthening trend dynamics that could support further upside. We could look at a call trade to take advantage of this movement. To buy the EOG Mar 20th 125 call it would cost about $2.45. If the stock price went up $2 you would make around $1, a 41% profit.

I wish you the very best,

Wendy

Markets can seem wild and unpredictable, This secret weapon is perfect for grab and go trading in up, down, or even flat markets. Click here for more info.