Following our previous report in December, 2012 ($16.04 [U.S.]), Masco Corp. rallied to $20.06 for a 25-per-cent appreciation in five months (A). The stock then settled in a large horizontal range between $16 and $21 for about two years (dashed lines). The rise above this range signalled renewed investor interest and the resumption of the up-trend (B – solid line). Masco became somewhat over-bought recently (C) and is currently in the midst of a minor pullback; only a sustained decline below $23 would be negative. Point & Figure measurements provide targets of $32 and $34. Higher targets are visible.
Monica Rizk is the senior technical analyst and Ron Meisels is the president of Phases & Cycles Inc. and he tweets at @Ronsbriefs. They may hold shares in companies profiled.
Chart source: http://www.decisionplus.com/.