Ag Stock CF Industries Has What It Takes to Grow

 | Jan 11, 2017 | 3:39 PM EST
  • Comment
  • Print Print
  • Print
Stock quotes in this article:


CF Industries Holdings  (CF) has a nice-looking chart pattern and indicators confirming the price strength. I would continue to buy this name.

Let me show you what I mean with the charts and indicators.

In this one-year daily bar chart, below, you can see how CF has made a saucer-like bottom from July through early November. In early November prices started to respond on the upside with a close above the 50-day moving average line and the 200-day moving average line. The accumulation of CF shares started back in June and July and August with the improvement in the On-Balance-Volume (OBV) line.

The Moving Average Convergence Divergence (MACD) oscillator made its low in early July but it was not until early November that it moved above the zero line and has stayed bullish. It looks like CF is early in its turnaround so the risk should be lower on new longs. I would go long with a stop below $30.

This longer-term weekly chart of CF, below, is also shaping up nicely. CF is above the flat 40-week moving average line and the MACD oscillator is above the zero line for an outright go long signal. 

My upside target for CF based on this pattern would be $45.

Columnist Conversations

We have some losers here not performing, we'll cut bait SOLD SLB FEB 87.5 CALL AT .45 SOLD MS FEB...
Altria is trading above its 2016 high today as its winning streak stretches to a sixth straight session. ...
Shares of Home Depot appear to be ending a seven week consolidation with a fresh breakout today.  The sto...
The first full week of the Trump Era starts on a cautious note in the market as all the major indices are down...



News Breaks

Powered by


Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.