Schlumberger Rises 3.14% In Two Days Amid Technical Breakout Signals

Schlumberger (SLB) closed at $34.12 on June 9, 2025, gaining 0.74% for its second consecutive daily advance, bringing its two-day rally to 3.14%. This price action occurs against a backdrop of significant volatility over the past year, including a 52-week high near $50.94 and low around $31.11. The following technical analysis synthesizes multiple methodologies to evaluate SLB’s current positioning.
Candlestick Theory
Recent sessions show consolidation within the $33.00–$34.50 range, with June 6’s 2.39% bullish candle closing near its high ($33.87) followed by a smaller June 9 continuation candle. The June 3 swing low ($32.83) now serves as critical near-term support, while the June 4 high ($34.21) and June 9 high ($34.52) define immediate resistance. A confirmed close above $34.52 would signal bullish breakout potential, whereas failure to hold $33.00 may reactivate selling pressure.
Moving Average Theory
The 50-day moving average (MA) near $37.30, 100-day MA near $39.80, and 200-day MA around $42.10 uniformly slope downward, confirming SLB’s entrenched long-term bearish trend. However, the price has recently crossed above its 20-day MA ($33.65), suggesting improving short-term momentum. The sustained discount to all major moving averages underscores persistent overhead supply, though a bullish MA crossover could emerge if short-term momentum persists.
MACD & KDJ Indicators
The MACD (12,26,9) histogram has transitioned to positive territory after a bullish crossover in early June, signaling accelerating upward momentum. Concurrently, the KDJ oscillator’s %K line (76) has crossed above %D (70) in overbought territory. While this typically hints at near-term exhaustion, the MACD’s confirmation of upward momentum suggests pullbacks may be shallow. Traders should monitor for bearish divergence should prices advance without corresponding oscillator strength.
Bollinger Bands
Bollinger Bands (20-day, 2σ) contracted sharply throughout May–June 2025, reflecting collapsing volatility before the recent rally. The June 9 close near the upper band ($34.70) indicates robust upside momentum. Historically, such volatility compression often precedes directional breaks; a sustained hold above the upper band could signal a new uptrend, while rejection would imply range-bound continuation.
Volume-Price Relationship
Volume patterns reveal skepticism toward the rally. While the June 3 surge (+2.31%) occurred on elevated volume (16.1 million shares), subsequent gains have featured below-average turnover, including June 9’s 12.4 million shares versus the 20-day average of 14 million. This divergence suggests limited conviction in the rebound, increasing vulnerability to pullbacks if volume fails to confirm upward moves.
Relative Strength Index (RSI)
The 14-day RSI reading of 60 resides in neutral territory, recovering from oversold levels (<30) in late May but not yet overbought (>70). This aligns with the recent price recovery but lacks extreme readings that might signal exhaustion. The RSI’s ascent alongside price offers confirmation of near-term momentum, though its moderate level implies room for additional gains before warning signals emerge.
Fibonacci Retracement
Drawing Fibonacci levels from the April 9 peak ($35.98) to the June 3 trough ($32.83), key retracement zones emerge: 38.2% ($33.99), 50% ($34.40), and 61.8% ($34.81). SLB has surpassed the 38.2% resistance, with the 50% level ($34.40) aligning with the June 9 high ($34.52). Confluence between this Fibonacci resistance and the Bollinger upper band reinforces $34.40–$34.52 as a pivotal resistance cluster. A decisive break above $34.81 could target the 78.6% retracement ($35.25).
Synthesis of Confluence and Divergence
Confluence appears at $34.40–$34.52, where Bollinger Band resistance, Fibonacci retracement, and recent price highs converge. A breakout above this zone validated by expanding volume could signal trend reversal. However, bearish divergences exist, including weak volume during rallies and KDJ overbought readings lacking MACD confirmation. The probability of sustained recovery increases above $34.81, while failure at $33.00 risks retesting the $32.83 low. Long-term trend bias remains negative until SLB reclaims its 200-day MA (~$42.10), requiring a 23% advance from current levels.