Exxon Mobil shares close flat on Monday, Guyana’s offshore block expected to contain 25% more oil

Exxon Mobil Corporation (XOM) and its US-headquartered partner Hess Corp now expect to find 25% more recoverable resources than previously estimated in the Stabroek oil block offshore Guyana.

Exxon Mobil shares closed flat at $81.40 in New York on Monday. The stock registered an intraday high at $82.00 and an intraday low at $81.18.

Shares of Exxon Mobil Corporation have retreated 2.68% so far in 2018 compared with a 4.99% gain for the underlying index, S&P 500 (SPX).

In 2017, Exxon Mobil’s stock dropped 7.33%, thus, it again underperformed the S&P 500, which registered a 19.42% return.

According to Exxon, the company could now recover over 4 billion barrels of oil equivalent from the Stabroek oil block, compared with 3.2 billion barrels of oil equivalent it had previously estimated.

“Continued success in Guyana and progress in other upstream growth projects in the U.S. Permian Basin, Mozambique, Papua New Guinea and Brazil are giving us additional confidence in achieving our long-term earnings growth plans that we outlined in March”, Neil Chapman, Exxon Mobils Senior Vice President, was quoted as saying by Reuters.

The Stabroek oil block could produce more than 750 000 barrels per day by 2025, Exxon said, which could enable Guyana to take a place in the same league as OPEC member Ecuador.

According to CNN Money, the 21 analysts, offering 12-month forecasts regarding Exxon Mobil’s stock price, have a median target of $87.00, with a high estimate of $110.00 and a low estimate of $70.00. The median estimate represents a 6.88% upside compared to the closing price of $81.40 on July 23rd.

The same media also reported that 12 out of 23 surveyed investment analysts had rated Exxon Mobil’s stock as “Hold”, while 8 – as “Buy”. On the other hand, 3 analysts had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Exxon Mobil stock are presented as follows:

R1 – $81.48
R2 – $81.55
R3 (Range Resistance – Sell) – $81.63
R4 (Long Breakout) – $81.85
R5 (Breakout Target 1) – $82.11
R6 (Breakout Target 2) – $82.22

S1 – $81.32
S2 – $81.25
S3 (Range Support – Buy) – $81.17
S4 (Short Breakout) – $80.95
S5 (Breakout Target 1) – $80.69
S6 (Breakout Target 2) – $80.58

By using the traditional method of calculation, the weekly levels of importance for Exxon Mobil Corporation (XOM) are presented as follows:

Central Pivot Point – $81.81
R1 – $82.38
R2 – $83.35
R3 – $83.92
R4 – $84.48

S1 – $80.84
S2 – $80.27
S3 – $79.30
S4 – $78.32