Bullish on Husky Energy.Getty Images/iStockphoto
Husky Energy Inc. declined from $37.31 to $11.34 (A-B) and then stayed in a horizontal trading range mostly between $14.00 and $17.50 for almost two years (dashed lines).
The recent rise to $19.24 signaled a breakout from this range, renewed investor interest and the start of a new up-leg (C).
The stock pulled back recently to its 40-week Moving Average (40wMA) and now appears ready to resume the up-trend toward higher targets. Only a sustained decline below ±$16 would be negative.
Point & Figure measurements provide targets of $21 and $22. Higher targets are visible.
Monica Rizk is the senior Technical Analyst and Ron Meisels is the president of Phases & Cycles Inc. (www.phases-cycles.com). And he tweets at @Ronsbriefs. They may hold shares in companies profiled.
Chart source: www.decisionplus.com
Monica Rizk
Ron Meisels