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Stalking the Bullish Breakout in Valero Energy (VLO)

Valero Energy (VLO) was spotted testing a falling resistance last time we looked its price action. We noted that a previously failed bearish breakout in VLO was a positive sign for a pending bullish breakout. Indeed, price pushed above a falling resistance.

VLO Daily Chart

(click to enlarge)

Bullish Breakout:
- The daily chart shows that after holding under the falling resistance a couple of times, it finally broke through this week. 
- Is has been pivoting above 64, 64.45. This is going to be a key support for future pull backs as well. 
Bullish Continuation:
- The breakout opens up a bullish continuation scenario. 
- When we look at the weekly chart, we can see that the general trend has been bullish. But price retreated in 2016.
- In the second half of 2016, it looks like the uptrend resumed. 
- Then, the first half of 2017 was a period of consolidation. 
- Now that we are entering the second half of 2017, it looks like price is pushing for a bullish continuation.
- This bullish continuation scenario opens up the 2015 high around 74. 

VLO Weekly Chart

(click to enlarge)