Petrobras Brasileiro (NYSE:PBR) has been one of the fortunate names that have largely avoided the midweek session rout, brought on by fears of escalating U.S.-China trade tensions. However, that doesn't mean PBR stock has escaped scot-free. In the trailing month, the equity declined by nearly 9%, a consequence of broader market jitters. But among the most actively traded securities, PBR arguably has flashed the most compelling reversal signal.
What's interesting, though, is that this signal isn't at all obvious from traditional methodologies. For example, the proponent of fundamental analysis may point to PBR stock trading at a trailing-year earnings multiple of 5.81. That's well below the multiple of 9.34 at the halfway point of the year. It's also in subterranean territory relative to the 19 times multiple of the integrated oil and gas sector.
