Raytheon Co. (RTN) has corrected lower the past nine months. Has enough time and price declines done their magic in making RTN more attractive to investors? Let's check over the latest charts and indicators to see if we should go back into the water.
In this daily bar chart of RTN, below, we can see a long-term decline in the share price of RTN. Recently prices rallied to the underside of the declining 50-day average line.
Volume has been heavier since late October and the daily On-Balance-Volume (OBV) line has turned up from a December low within a longer-term uptrend.
The Moving Average Convergence Divergence (MACD) oscillator has crossed to a cover shorts buy signal.
In this weekly bar chart of RTN, below, we can see an "interesting picture." Prices are below the declining 40-week moving average line.
The weekly OBV line is incredibly strong.
The weekly MACD oscillator is poised for a longer-term moving average crossover and cover shorts buy signal.
In this Point and Figure chart of RTN, below, we can see a nearby price target of $175.
Bottom line strategy: RTN has made a large corrective move lower but that does not necessarily make it an attractive long recommendation. I want to see more signs of accumulation.