Worthington Industries Inc. had a sharp decline from $45.39 (U.S.) to $24.02 in about seven months (A-B). The stock then settled in a large horizontal trading range mostly between $23 and $32 for about one year (dashed lines).
The recent rise above the top of this range confirms renewed investor interest and the start of a new up-leg. There is good support near $34, but only a decline below $31 would be negative.
Point & Figure measurements provide targets of $42 and $45. The large trading range (dashed lines) supports significantly higher targets.
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: www.decisionplus.com.