Sensient Technologies Corp. (SXT) is a global manufacturer and marketer of colors, flavors, and other specialty ingredients. Let's check out the charts and indicators to get a taste of what's in store for the stock.
In the daily bar chart of SXT, below, I can see some positive technical developments. The shares have been a wide sideways trading range the past year. Prices show improvement from a low in October. SXT trades between and around the 50-day moving average line and the 200-day moving average line.
The trading volume has increased since October and the On-Balance-Volume (OBV) line shows a choppy rise from late October indicating that buyers of SXT have been more aggressive than sellers. The Moving Average Convergence Divergence (MACD) oscillator has been above the zero line since November but has not shown us a sustained move higher.
In the weekly Japanese candlestick chart of SXT, below, I can see that shares made a strong rally from early 2020 into late 2021. Prices turned lower for a "typical" correction with a decline into October. SXT has firmed from the lows and is testing the declining 40-week moving average line.
The OBV line shows a decline from November 2021. The MACD oscillator has been below the zero line for the past 12 months and has not yet crossed back above the zero line for an outright buy signal.
In this daily Point and Figure chart of SXT, below, I can see an upside price target in the $101 area.
In this weekly Point and Figure chart of SXT, below, I see the same upside price target as the daily chart above -- $101.
Bottom-line strategy: Traders could probe the long side of SXT around $72 risking to $67. The $101 area is my price target.
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