Williams Partners (WPZ) should continue to grind higher in the next several months as the charts and indicators have gained strength the past three months.
In this daily chart of WPZ, below, we can see prices stage a strong up-move from April to early September. Prices then correct sideways to a tad lower until December when a short up-move develops through January. WPZ corrects sideways to lower until late March when a new move higher looks like it has begun. WPZ is above the rising 50-day and 200-day moving averages.
The daily On-Balance-Volume (OBV) has been moving subtly higher the past year and this implies or suggests that buyers of WPZ have been more aggressive or bullish. In the lower panel is the Moving Average Convergence Divergence (MACD) oscillator. This indicator combines the strength of an oscillator with the advantages of a trending indicator like moving averages. The MACD oscillator has crossed above the zero line telling us that the trend is positive and giving us an outright go long signal.
In this weekly chart of WPZ, below, we can see that prices are above the rising 40-week moving average line. The weekly OBV line looks positive and the MACD oscillator on this timeframe has been positive for months.
In this Point and Figure chart of WPZ, below, we can see the reversal to the upside in 2016 as well as the double-top breakout at $39. This base pattern yields a tentative longer-term price target of around $52.50.
Bottom line: It appears WPZ is ready to move higher again. Traders can approach this name from the long side, risking a close below $38 and looking for a rally to the low $50s.