Trade Ideas: CL

A solid consumer staple for the months ahead, and the most frequent stock to appear on my Trade Ideas scan at 31 times. Colgate-Palmolive (CL) is well placed to push through $62.45 resistance. A move to $64 would trigger an ascending triple top breakout, bringing into range its point-n-figure chart target of $73. More importantly, it would complete a 6-year cup-and-handle pattern, dating back to 2000 highs of $63.45. Jim Cramer was another to promote this stock earlier in the month (you can decide if this is a good, or bad thing!). The 2.1% yield is an added bonus.

Colgate-Palmolive Company engages in the manufacture and marketing of consumer products worldwide. The company operates through two segments, Oral, Personal, and Home Care; and Pet Nutrition. Oral, Personal, and Home Care segment provides oral care products, which include toothpaste, toothbrushes, mouth rinses, dental floss, and pharmaceutical products; personal care products that consist of shower gels, shampoos, conditioners, deodorants, and antiperspirants, as well as liquid hand soaps; and home care products, including dishwashing liquids, household cleaners, oil soaps, and fabric conditioners. Pet Nutrition segment provides pet nutrition products for dogs and cats.



If you would like to try a full version of the Trade-Ideas software, follow this link for a free 7-day trial.


Popular posts from this blog

S&P "Bull Trap"?

Image
I thought there was sufficient evidence to argue against a "bull trap" in the S&P, but it would appear the market wasn't interested in such thoughts and sellers were quick to reverse the initial push above 4,200.  Adding to the pain were new 'sell' triggers in MACD and On-Balance-Volume, although the former occurred above the 'bullish' zero line, making it a weak signal. Selling volume ranked as distribution as selling momentum picked up speed.  The index is also underperforming relative to the Russell 2000. 
Read more

"Black Candlesticks" are a concern for the S&P and Nasdaq

Image
A bright start for bulls on the back of positive $NVDA earnings wasn't enough to generate a day of meaningful gains.  However, it did help stall the losses of the last couple of days. The Nasdaq was the biggest beneficiary of today's action, but not enough to see an end-of-day finish that cleared last week's swing high, nor delivery of a large white candlestick, despite the morning breakout gap.  Technicals are net bullish and relative performance against the S&P has become consistently stronger since the start of May.  While today's candlestick I would view as typically 'bearish', today's volume ranked as confirmed accumulation (bullish). Overall, I would be looking for higher prices from here. 
Read more

Round 2 for the bearish "black" candlestick in S&P and Nasdaq

Image
The Nasdaq started brightly but ended up closing below its open price, but above yesterday's close. The S&P did something similar, although the intraday range is narrower. These two setups are somewhat complicated by the new 'buy' triggers in On-Balance-Volume for both the Nasdaq and S&P. And the new MACD trigger 'buy' for the S&P. Price action is key, so I would expect the candlestick to trump the technical picture; watch for lower prices tomorrow.
Read more

Archive

Show more