This article is for education purposes only, and not to be taken as advice to buy/sell. Please do your own due diligence before committing to any trade/investment.
The war between Iran and the US has renewed and escalated. This comes as the US is hosting the World Cup with Canada and Mexico.
With this sharp escalation after weeks of relative peace, oil prices have climbed once again. I don’t wish for pump prices to rise accordingly!
To help me mitigate this issue, I turned my attention to oil stocks. This is a funny discovery – many oil stocks have been sliding since late Mar 2026, only to begin slowly climbing in recent days.
Digging deeper, with the help of the TradersGPS (TGPS) system, I found this stock that has been rising hard to no fanfare.
Would you like to find out more about this stock?
Let’s dive in!
Brief History of Ecopetrol
Source: ecopetrol.com.co
Ecopetrol was founded in 1948.
Slowly, it became Colombia’s largest company and a leader in integrated oil in the West, with operations across the Americas. How did this happen?
After becoming a state-owned enterprise in Colombia for a few years, the company was privatized and listed. Flushed with investors’ money, the company did serious business by acquiring fellow oil companies to bolster its domestic production and exploratory footprint.
With a strong foundation and strategic expansion plans in place, has the company enjoyed financial rewards?
Business Model and Financials
Source: tradingview.com
Let’s look at 2 key metrics from the image above – total revenue (in blue) and net income (in yellow).
Did you notice that the total revenue of Ecopetrol rose every year from 2020 onwards except in 2023 and 2025?
Overall, its total revenue has increased from $21.9b to $28.9b, a remarkable 31.9% increase!
Has its net income managed to grow alongside?
Its net income was more inconsistent, growing and shrinking quite dramatically from 2019 to 2025.
This can probably be expected of Ecopetrol as it’s an integrated oil company that’s highly affected by macroeconomics and politics.
Is a growing total revenue a strong enough reason to buy its shares for a position trade?
It would be better to analyze its share price.
Technical Analysis on Ecopetrol (NYSE: EC)
Here’s the chart of Ecopetrol’s shares.
Can you tell that its shares have been in strong demand, rising month after month in a powerful uptrend?
There’s no need to add a moving average or trendline. You can tell that this is an uptrend by comparing the number of blue (outline and solid) candles against those in red (outline and solid).
The share price is in an uptrend when there are more blue candles.
What would you want to do when a stock is in an uptrend?
You’ll want to look out for buying opportunities. And that’s what I’ll be doing here.
Without the need to plot support and resistance, I can tell whether the time to buy the shares of Ecopetrol is ripe for a position trade.
How?
By looking at the 2 main proprietary indicators – the arrow and Trend Impulse Factor indicator.
Do you see a green arrow under the latest candle of Ecopetrol’s shares?
This tells me that this is a fresh bullish move.
But is this bullish move likely to be sustained?
Enter the Trend Impulse Factor indicator.
When the bar of the Trend Impulse Factor indicator is dark green in color, it suggests that this bullish move is likely to be sustained. Now, let’s have a look at the color of the Trend Impulse Factor indicator’s bar.
Wow, I love what I see!
This fresh bullish move is likely to be sustained, so the time to buy its shares for a position trade is here.
Conclusion
Source: unsplash.com
Given the hostility and deep mistrust between each other, it’s little wonder that this peace deal broke down so soon.
Energy prices may face another volatile period, and consumers are likely to bear the brunt.
But as this plays out, a potential trading opportunity is presented to position traders.
The share price of Ecopetrol has been climbing without attention, and this was picked up by the TradersGPS (TGPS) system, saving me hours of digging into the thousands of stocks that make up the market.
Additionally, both the arrow and Trend Impulse Factor indicators have been tested and proven. They form the TradersGPS (TGPS) system to help you decipher if a stock is ripe for a position trade. You won’t have to feel in the dark and make wild guesses.
The TGPS system tells me that the time to buy its shares for a position trade is here!
Will you be considering this underrated energy stock?
What are your thoughts?
Share your thoughts with me below!
