Poring over charts and checking emails from various sources for attractive-looking patterns, I came across Plains All American Pipeline L.P. (PAA) this morning. I found a number of positives with an uptrend from late November. Let's check.
In this daily bar chart of PAA, below, we can see a pattern of higher lows and higher highs from November -- the simple definition of an uptrend. PAA is above the rising 50-day moving average line and the bullish 200-day moving average line. The 50-day line crossed above the 200-day line in early April for what is commonly called a golden cross. This bullish technical signal lags at turning points but can be effective when prices trend for a while.
The daily On-Balance Volume (OBV) shows a mixed performance but has moved up to a new high this month, telling me that buyers of PAA have been more aggressive. The trend-following Moving Average Convergence Divergence (MACD) oscillator is above the zero line but has crossed to the downside for a take-profits sell signal.
In this weekly bar chart of PAA, below, we can see that PAA is above the rising 40-week moving average line. The weekly OBV line shows a strong uptrend from last October and the MACD oscillator is bullish.
In this Point and Figure chart of PAA, below, we can see some resistance up to $30 and a bullish price objective of $32.50.
Bottom line strategy: I find positive signals on all three charts. Traders could approach PAA from the long side around or near $26, risking below $23 and looking for $32.50 initially with the mid to upper $40s as a longer-term target.