Terex Corp. (TEX) is a manufacturer of lifting and material processing products. The company is scheduled to report their latest quarterly figures after the close of trading on August 1.
Let's check out the charts and indicators and plot a strategy.
In the daily bar chart of TEX, below, I can see that share prices have doubled in the past 12 months. The shares trade above the rising 50-day moving average line and above the rising 200-day line.
The On-Balance-Volume (OBV) line shows strength since October and supports the bull case. The Moving Average Convergence Divergence (MACD) oscillator is above the zero line but correcting.
In the weekly Japanese candlestick chart of TEX, below, I see a mixed picture. The shares are in an uptrend and have made new highs for the move up. TEX trades above the rising 40-week moving average line.
The weekly OBV line is bullish and so is the MACD oscillator. What's the problem? Notice the two large upper shadows on the two most recent candles -- this tells us that traders are rejecting the highs.
In this daily Point and Figure chart of TEX, below, I can see an upside price target in the $70 area.
In this second Point and Figure chart of TEX I used weekly price data with a five-box reversal filter. A $114 price target is projected.
Bottom-line strategy: Traders could probe the long side on weakness below $60 risking to $54. The $114 area is my price target for now.
