Fifth Third Bancorp (FITB) bottomed in February and the subsequent uptrend and indicator development from that low suggest still further gains ahead. A weekly close above $22 should make even reluctant bulls take notice.
In this daily chart of FITB, above, we see a steady uptrend only interrupted briefly in late June with a "shake-out" below the 50-day and 200-day moving averages. Why do I consider that decline a shake-out? Look at the On-Balance-Volume (OBV) line -- it does not go down with the price action. In other words, the selling was not aggressive and look how quickly prices moved back above the moving averages. Today FITB is above the rising 50-day and the rising 200-day averages. The OBV line continues to move to new highs, showing that buyers are paying up to get long this stock. Last, the Moving Average Convergence Divergence (MACD) oscillator is in a bullish configuration.
In this weekly chart of FITB, above, we can see prices above the rising 40-week moving average line. The resistance at $21 is broken and we have the weekly OBV line confirming the advance. The weekly MACD oscillator is also in a strong buy mode. A weekly close above $22 will break the 2015 resistance and open the way for higher prices on FITB. A decline below $19.50 would upset the bull case.