CVX +124.04% in 24 Hours Amid Sharp Rebound

On SEP 1 2025, CVX surged by 124.04% within 24 hours, reaching a price of $3.662. Despite this short-term gain, the stock remains under significant pressure in the broader timeframes: it has declined by 490.98% in the last seven days, 138.09% over the past month, and a dramatic 2390.68% over the last year. These figures illustrate a volatile and highly bearish trend in the long-term performance of the asset.

The sudden 24-hour surge appears to be an anomaly against an otherwise deteriorating chart. While the cause of the movement has not been publicly disclosed, the price jump has reignited short-term technical interest among traders. The move brought CVX above several key short-term support levels, temporarily altering the risk-reward profile for positions held near recent lows.

From a chart-based perspective, the recent spike has disrupted several bearish technical patterns that had been in place for weeks. The 200-day moving average continues to act as a distant resistance, while the RSI remains well below neutral territory, signaling continued exhaustion in the short-term selling pressure. However, the rapid 24-hour increase has created potential for a short-term bounce or retest of critical support levels before the broader downtrend resumes.

The Backtest Hypothesis section aims to explore whether a specific strategy could have capitalized on or mitigated the impact of such price swings. In particular, the strategy under consideration employs a blend of moving averages and relative strength indicators to identify potential entry and exit points. The method is designed to detect divergences between price action and momentum indicators, which could signal turning points in the trend.

Backtest Hypothesis

The proposed backtesting strategy involves using a 50-day and 200-day moving average crossover as a directional filter, combined with RSI divergence to time entries. In this approach, long positions are entered when price breaks above the 50-day moving average and RSI shows positive divergence, while short positions are triggered when the opposite is true. This dual-system approach is intended to filter out noise and focus on higher-probability setups in volatile market environments. The model would be applied using daily data and would be tested over a range that includes the most recent 12-month period to assess its adaptability to the observed price behavior.