During Thursday's Lightning Round segment of Mad Money, a caller quizzed Jim Cramer about Brookfield Renewable Partners (BEP) : "If you want to be in that, I'll bless it. But that's not an area I'm interested in," said Cramer about this company that owns a portfolio of renewable power generating facilities.
Let's check out the charts to see which way the wind is blowing and the sun shining.
In this daily bar chart of BEP, below, we can see that prices made a small double top pattern in January and then declined into early March. A bounce developed but it fizzled and prices have sunk to a new low for the move down this month. Prices are below the declining 50-day moving average line and below the cresting 200-day line. The 50-day is close to a bearish dead or death cross which would happen when the 50-day line crosses below the 200-day line.
The On-Balance-Volume (OBV) line has been in a decline from January, telling us that sellers of BEP have been more aggressive. The 12-day price momentum study shows a low in March and a slightly higher low in May for a bullish divergence.
In this weekly Japanese candlestick chart of BEP, below, we see a mixed picture. Prices are in an intermediate-term downtrend and are trading below the cresting 40-week moving average line.
The weekly OBV line has been weak since January and the 12-week price momentum study is still declining and shows no sign yet of a reversal.
In this daily Point and Figure chart of BEP, below, we can see that prices reached a downside price target around $36.
In this weekly Point and Figure chart of BEP, below, we see a potential downside target in the $26 area.
Bottom line strategy: Renewable energy is the future but I cannot say that a purchase of shares in BEP is the way to invest in the future right now. Let's watch and wait.