Fox Factory Holdings Corp. (FOXF) was covered in the Homework segment of Mad Money Monday night. Jim Cramer blessed owning the aspirational auto parts maker but let's check the charts and indicators before we move out of park.
In this daily bar chart of FOXF, below, we can see that prices doubled from April to September and then corrected in October. Prices declined below the 50-day moving average but stopped short of the rising 200-day average line. Prices recently gapped higher to close back above the declining 50-day line. Prices could trade sideways in the near-term but a test of the September peak is probably in order at some point in time. The daily On-Balance-Volume (OBV) line rose from April to September and made a small decline in October. The OBV line has turned up again suggesting more aggressive buying again. The Moving Average Convergence Divergence (MACD) oscillator just crossed to the upside for a cover shorts buy signal.
In this weekly bar chart of FOXF, below, we can see a longer-term bullish picture. Prices are above the rising 40-week moving average line. The weekly OBV line has been bullish the past three years and the MACD oscillator is narrowing towards a possible new buy signal.
In this Point and Figure chart of FOXF, below, we can see an upside price target of $99.
Bottom line strategy: FOXF looks like it can head higher in the weeks ahead so the question is where if buy it. After the recent sharp rally, I would look for some sideways price action to probe the long side. Risk a close below $59 and look for $99 on the upside.