AlertEdge.io
Single-Ticker Trade Brief
VLO — Valero Energy Corporation Report Date: 2026-04-30  |  Exchange: NYSE  |  Timeframe: Daily / 3-Hour
RISK DISCLAIMER: This report is for informational and educational purposes only and does not constitute financial advice. Trade levels are derived from technical analysis and are not guarantees of future performance. Always conduct your own due diligence. Past price patterns do not guarantee future returns.
▲ Horizontal Support Test — Crack Spread Recovery + Renewable Diesel Optionality

VLO is testing a critical horizontal support zone at $115.00–$122.00 that has held multiple times over the past 18 months. Crack spreads have compressed from peak 2022–2023 levels but remain constructive at $18–22/bbl for Gulf Coast refiners. VLO's diversification into renewable diesel via the Diamond Green Diesel (DGD) JV — the world's largest renewable diesel facility — provides an earnings floor independent of petroleum crack spreads. RSI is approaching oversold territory. A confirmed bounce from support with crack spread stabilization targets $155.00.

Chart — VLO Daily View (2026-04-30)

VLO daily chart — horizontal support test crack spread recovery 2026-04-30
▲ Horizontal Support Test Crack Spread Recovery Target: $155.00 DGD Renewable Diesel

Daily chart. Horizontal support zone $115–$122 tested multiple times. Bounce target $155. Stop below $108 (major support break).

Ticker
VLO
NYSE — Largest Ind. Refiner
Pattern
Support Test
Horizontal Base / Bounce
Support Zone
$115.00
Multi-Touch Support
Resistance
$140.00
Prior Consolidation Zone
Projected Target
$155.00
Measured Bounce Move
Hard Stop
$108.00
Below Major Support
Crack Spread
$18–22
Gulf Coast 3-2-1 $/bbl
Risk/Reward
1 : 3.8
From $120 with $108 stop

Fundamental Context

Refining Scale
15 Refineries / 3.2M bpd
Largest Ind. Refiner
Capacity3.2M barrels/day
Refineries15 (US, Canada, UK)
DGD Capacity1.2B gal/yr renewable
Div Yield~4% at current
VLO is the world's largest independent refiner with 15 refineries and 3.2M bpd of capacity. The Gulf Coast complex is ideally positioned to capture WTI–Brent spread and heavy crude discounts. The Diamond Green Diesel JV (DGD) is the world's largest renewable diesel plant (1.2B gal/yr), providing earnings from biomass-based diesel with favorable regulatory incentives (RIN credits, BTC).
Crack Spread Dynamics
Margin Environment
Compressed
Gulf Coast 3-2-1 crack spreads at $18–22/bbl are well below 2022–2023 peaks of $40+/bbl but remain solidly above the $12–15/bbl normalization threshold. Seasonal driving demand recovery, ULSD export demand to Europe, and Mexican refinery delays are constructive near-term catalysts. VLO's refining margin per barrel averages $14–16/bbl after variable costs in a $20 spread environment.
Key Catalysts
Watch List
Monitor
Bullish: Crack spread recovery to $25+, DGD RIN credit stability, summer driving demand, Mexico fuel import demand, additional buybacks announced.

Bearish: Crack spreads below $15, RIN credit price collapse, European refinery restarts, demand destruction from EV adoption accelerating.

Key Price Level Map

Upside Targets
Primary Target
$155.00
Measured bounce move. Prior congestion zone.
Interim Resistance
$140.00
Prior consolidation ceiling. TP1 zone.
TP1
$132.00
50% bounce recovery. First take-profit zone.
Support Zones
Current Price Area
$118.00 – $125.00
Testing horizontal support. Watch for reversal candle.
Horizontal Support
$115.00
Multi-touch support zone. High-conviction buyer area.
Invalidation
$108.00
Stop loss. Major support break — refining thesis voided.

Entry Plays — Long Setups

# Play Signal Type Status Entry Zone Stop Loss TP1 TP2 (Final) R/R Trigger Condition
1
LONG-1
Support Bounce
LONG WATCH NOW $115.00 – $120.00 $108.00 $132.00 $155.00 1 : 3.8 Support test + RSI < 35 + crack spread stabilizing
2
LONG-2
Recovery Momentum
LONG PENDING $124.00 – $130.00 $116.00 $140.00 $155.00 1 : 3.2 MACD cross + crack spread expanding + RSI > 45
3
LONG-3
Resistance Break
LONG PENDING $140.00 – $143.00 $133.00 $148.00 $155.00 1 : 2.1 Daily close above $140 + volume + positive crack data

Pine Script Reference — AlertEdge.io_VLO_Entry_Signals

// VLO — Horizontal Support Bounce | Target: $155.00 | Support: $115.00 | Break: $140.00
// Strategy: Crack Spread Recovery + DGD Renewable Diesel Floor

LONG-1 Support        → Green ● circle below bar | text = "SUPPORT"
LONG-2 Recovery       → Blue ↑ arrow below bar   | text = "RECOV"
LONG-3 Res Break       → Orange ▲ triangle below bar | text = "BREAK↑"

// Alert: RSI < 35 at $115–120 + crack spread > $18 = LONG-1
// Alert: Daily close above $140 + vol surge = LONG-3 confirmed