Honeywell International (NYSE:HON) is a diversified manufacturing and technology company making things as complex as aircraft engines HVAC thermostats. And the mix is serving it well. The stock price is up over 200% since making a low in 2011 and over 20% since the January low 3 months ago. Needless to say, the chart looks good. But even the most recent price action warrants a look for adding this stock to your portfolio.
The chart below shows the last 6 months. After a sideways action through the end of the year, the price pulled back with the market in January. Since then the price has risen against rising trend support mirroring the 20-day SMA with a one-day exception at the end of February. The last 3 weeks have seen consolidation in that uptrend under 113.25, which is proving to be resistance.
The rest of the information on the chart sets up for a positive move out of that consolidation. Momentum has held bullish as the price moves sideways. The RSI remains in the bullish zone and the MACD has leveled in positive territory. Should it cross back up through the signal line, that would add even more weight to the upside case. There was a golden cross at the start of March as well. A break of the price up over resistance would give a measured move to 124 against that ‘oops’ at the end of February. And the stock sports a 2.1% dividend yield while you are watching it go.