Building on double digit gains to start the week, shares of Chesapeake Energy CHK continued to soar in early morning trading Tuesday. The stock was up 24% as of 11:40 AM EST. On Monday, Chesapeake announced that it would maintain its $4 billion borrowing limit, despite industry conditions that have many natural gas and oil producers slashing their credit lines. This news sparked Monday’s trading activity, and that momentum has carried over to Tuesday as analysts have also become more bullish on the stock. The analyst firm Tudor, Pickering, Holt upgraded the stock to “hold” from “sell” today. “[Monday’s] +20% move reflects importance of constructive lender update and fading of negative sentiment on the name. Further, the ongoing crude recovery and what we believe will be a significant gas price rebound in 2017 should strengthen tailwinds for the equity," said the firm in a note. The energy sector has been extremely volatile lately, but the latest news from Chesapeake should provide some level of stability for the company going forward. Overall, both Chesapeake and the sector as a whole will be hoping that energy prices continue to climb as they have begun to do over the last two months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CHESAPEAKE ENGY (CHK): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research