ConocoPhillips barely tops second-quarter expectations

Technically, the oil-related firm has slipped off the end of a cliff. In June 2008, the stock was trading in the $95 region. Fast forward to today and the stock is trading for less than half of last year's high. With the shares trudging sideways in the $45 region, the road higher looks fraught with resistance. The most immediate roadblock is COP's 10-month moving average, which the shares have not closed above since June 2008. If there is good news, it is that the stock is actually challenging this trendline, although it has done this in nearly each of the past 13 months.

As for the intermediate-term performance, COP is positioned atop its 10- and 20-week trendlines. These trendlines could provide support as the stock attempts to break through its long-term moving averages. Unfortunately, there is danger lurking overhead in the form of COP's 50-week moving average, which could serve to turn away any rally attempts. Does this mean that the stock can't rally? No. Does it make a rally unlikely? Perhaps. However, I never put anything past companies that deal in oil -- I mean we could be at $145-per-barrel oil in the matter of a few days, depends on what the speculators want, right?