Restaurant Brands International (QSR) has broken out to new highs on a chart with limited price history. What might we expect in the weeks ahead? Let's look at the charts.
In this daily chart of QSR, above, we can see a pretty positive picture. QSR is above the rising, 50-day moving average line, and above the rising, 200-day average. The On-Balance-Volume (OBV) line has been moving up from a February low, and recently made a new high for the move up along with the price action. A rising OBV line tells us that buyers of QSR have been aggressive, with more shares traded on days when QSR has closed higher on the day.
QSR had encountered some resistance around $44 in May and June, but prices broke out to new highs -- and $44 is now a support zone. Momentum has slowed a little, but is not diverging significantly from the price action.
In this limited weekly chart of QSR, above, we can see that prices are above the rising, 40-week moving average line. The OBV line on a weekly timeframe has been rising since February -- like the daily chart. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish configuration above the zero line. To get an upside price target for QSR we turned to a Point and Figure chart, below.
In this Point and Figure chart of QSR, above, we can see the breakout at $45 and the longer-term price projection of $69. A close below $44 would be our risk level at this point in time.