Raytheon Co. (RTN) was reviewed very recently where I had a positive outlook, writing, "...RTN could be making an ascending triangle pattern with the top of the pattern along $220 and higher lows seen in February and March. A strong breakout above $223 on heavy volume is needed to complete the pattern. Risk a close below $205 now."
Prices have still not broken out on the upside but some of our indicators have strengthened further. Let's check.
In this daily bar chart of Action Alerts PLUS holding RTN, below, we can see that prices are still above the rising 50-day moving average line as well as the rising 200-day line. Prices have tested the $220 level recently as well as late last month.
While prices have not broken above $223 (noted above) the daily On-Balance-Volume (OBV) line has already moved up to a new high. The original work by Joseph Granville back in the early 1960's on the OBV line showed that it can lead on the upside and downside.
The trend-following Moving Average Convergence Divergence (MACD) oscillator is turning up from above the zero line for an outright go long signal.
In this weekly bar chart of RTN, below, we can see that prices are still firmly above the rising 40-week moving average line and very close to making a new high close. The weekly OBV line is close to making a new high and the weekly MACD oscillator looks like it will not cross to a take profits sell signal.
In this Point and Figure chart of RTN, below, we can see that a trade at $224 with a small double top breakout.
Bottom line: While the broad market averages are weak, RTN is showing independent strength. I would keep the same strategy - A strong breakout above $223 on heavy volume is needed to complete the triangle pattern. Risk a close below $205.