Trimble ( TRMB
) is a provider of precision equipment for the surveying, construction, and civil engineering markets. As the company preps its earnings release for this week, the charts have gotten my attention and they look promising.
Let's check them out.
In this daily bar chart of TRMB, below, we can see that prices made a small triple-bottom in June and early July. Prices rallied above the now rising 50-day moving average line. TRMB is now not far below the 200-day line. The On-Balance-Volume (OBV) line looks like it bottomed in June and July. The Moving Average Convergence Divergence (MACD) oscillator has crossed above the zero-line for a new outright-buy signal.
In this weekly Japanese candlestick chart of TRMB, below, we can see how TRMB has improved in recent weeks. Prices are still below the declining 40-week moving average line, but not that far below it. The weekly OBV line shows some slight improvement in June and July. The weekly MACD oscillator has crossed to the upside for a cover-shorts, buy signal.
In this daily Point and Figure chart of TRMB, below, we can see a potential upside price target in the $96 area.
In this weekly Point and Figure chart of TRMB, below, we see the same $96 price target as on the daily chart (above).
Bottom line strategy: Shares of TRMB have made a strong advance during July and now a pullback or correction should be a buying opportunity. Traders should be patient and wait for a dip to around $65 before buying. Risk to $59.
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