We identified a large wedge pattern (dashed lines) on Feb. 2, 2019, ($47.64) and provided targets of $52 and $57.
Metro Inc. (Friday’s close $58.18) stayed in a horizontal range between $48 and $51 for about seven months (dotted lines) and then resumed the up-trend to a recent high of $59.03 (B).
Subsequently, the stock pulled back toward its 40-week Moving Average (40wMA – C) and now appears ready to resume the up-trend.
Behaviour indicators including the rising 40wMA and the rising trend-line (solid line) confirm the bullish status. Only a sustained decline below ±$52 would be negative.
Point & Figure measurements provide targets of $64 and $69. The large wedge pattern (dashed lines) and the trading range (dotted lines) support higher targets.
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