Some analysts see energy stocks as a potential defensive play in the face of a recession. So, with Chevron’s earnings out before the opening tomorrow, is Chevron stock showing any interesting seasonals?

Interestingly, Chevron shows a pattern that is roughly similar to the path of major indices in the summer. Over the last 25 years, the stock has fallen for an average -0.87% and a 56% winning trade percentage. However, despite this weak summer seasonal pattern, there have also been years where Chevron has performed in double-digit figures: in 2003, 2006, 2007, 2009, and more recently in 2022.

Will Chevron’s earnings give it a boost before the open on Friday?

Major Trade Risks: The biggest risk here is if earnings disappoint and/or global recessionary fears weigh on oil demand.

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