After a sharp fall, Apache Corporation had a bullish trend that is now slowing down.

From a fundamental viewpoint, analysts recently revised downward EPS estimates. There is a downside risk because of the negative momentum and reduced business predictability.

A new decline in prices is likely to happen because of the technical configuration. Prices are under the USD 80.25 resistance, which has already stopped prices twice, corresponding to the 50 and 100-day moving averages. The downward orientation of the latter reinforce the probability of a slump towards USD 75.4.

This context suggests a short position in Apache in order to target a return toward the USD 75.4 support area, in a first time, then USD 68.8. A stop loss will be fixed above the USD 80.25 resistance.