Calgon Carbon Corp. traded between $11.50 (U.S.) and $18 for the past four years (dashed lines). The stock started a sharp rise in 2012 (A-B), which brought the stock slightly higher than the top of the trading range, but which produced an over-bought condition. Calgon Carbon then pulled back to its 40-week moving average (40wMA - C) and later rallied and reached a higher high of $18.86 (D). A sustained rise above $19 would confirm the breakout and the start of a new major up-move. Only a decline below $16-$16.25 would be negative.
A rise above $19 would signal Point & Figure targets of $22 and $24.
Monica Rizk is the senior technical analyst for Phases & Cycles Inc. (www.phases-cycles.com). Ron Meisels is a contributor to the www.NA-marketletter.com website and Tweets at @Ronsbriefs. They may hold shares in companies profiled. Please see the site for a glossary.