American States Water (AWR) has continued to trade firm to higher in recent weeks, ignoring the bearish forces in the marketplace. Let's check the charts to see if that trend will continue.
In this daily bar chart of AWR, below, we can see an uptrend from the February/March lows. Prices started to climb faster from October. AWR is above the rising 50-day moving average line but a test of that line would not be a big surprise if it happens. The 200-day line is still rising and well below the price action. The daily On-Balance-Volume (OBV) line shows a confirming rise from early 2018. The Moving Average Convergence Divergence (MACD) oscillator is in a take profits mode from late November.
In this weekly bar chart of AWR, we can see that prices have rallied the past three years. AWR is above the rising 40-week moving average line. The weekly OBV line also shows a long uptrend and the MACD oscillator on this longer time frame is bullish.
In this Point and Figure chart of AWR, below, we can see an upside price target of $84.
Bottom line strategy: AWR could trade sideways for a few weeks or so but the longer term trend remains up. Traders could go long on strength above $70.15.