Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
💰 Buffett reveals a $6.7B stake in Chubb. Copy the full portfolio for FREE with InvestingPro’s Stock Ideas toolCopy Portfolios

Timmmberrr!

ByDragonfly Capital
AuthorGregory W. Harmon
Published 10/10/2012, 05:05 AM
Updated 05/14/2017, 06:45 AM

Timmmberrr!!! – That is what I heard all day Tuesday in the broad market, calls for a pullback. And it got me thinking. What about timber, or lumber? Turns out Weyerhauser, (WY) has great looking stock chart on multiple time frames, and pays a 2.3% dividend, take a look.

Weyerhauser (WY) Daily
NYSE-WY
The daily chart above shows the long run higher from the May 17 low to the Shooting Star top on September 14th. Since then it has pulled back to the 23.6% Fibonacci retracement level and is building a symmetrical triangle. The break of the triangle would look for a $1.50 move and to the upside would then also trigger a Measured Move higher to 30 based on a comparable move from the July consolidation area up to the triangle.

The rising 20 day Simple Moving Average (SMA) is also acting as support and has been important that way throughout the run higher. The squeezing Bollinger bands give the timing at nearby and the Relative Strength Index (RSI) holding bullish makes the bias to the upside.

Weyerhauser (WY) Weekly
WY
Wow that was a technicians dream with all those indicators, but it all boils down to a move over 26.85 leading to a target of 30. Moving out to the weekly chart shows that on a longer scale it is moving up towards the price objective of the Inverse Head and Shoulders pattern, of at least 29.25, as well. Another check mark on the plus side. So yes, Timmmberrr! Put it on you radar.

Disclaimer: The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

Original post

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.