During Friday's Mad Money program, Jim Cramer told viewers about some of the stocks that were reporting earnings this week. This coming Friday Cramer said we'll hear from ExxonMobil ( XOM) and Chevron ( CVX) , two oils which gained religion regarding climate change thanks to activist pressures. Cramer also said he'd be a buyer of Caterpillar ( CAT) as infrastructure spending continues to work its way through Congress. 
In our last review of CAT on June 25, we wrote that "So far it looks like CAT has made a tradeable low in June. Aggressive traders could go long CAT at current levels risking to $195 or just below the 200-day moving average line." Prices did bounce from the middle of June but dipped briefly to a new low this month. CAT has not declined to our $195 stop point.
In this updated daily bar chart of CAT, below, we can see that prices weakened over the past two months with CAT testing the rising 200-day moving average line. The slope of the 50-day moving average line is negative.
The On-Balance-Volume (OBV) line shows some weakness from early June telling us that sellers of CAT have been more aggressive.
The 12-day price momentum study shows a low in June and a higher low in July telling us that the pace of the decline has slowed. This is a bullish divergence when compared to prices that made a low in June and a lower low in July.
In this weekly Japanese candlestick chart of CAT, below, we can see that prices have pulled back to test the rising 40-week moving average line. The weekly OBV line has been churning sideways the past four months or so. The weekly MACD oscillator is pointed down in a take profits sell mode.
In this daily Point and Figure chart of CAT, below, we can see that the software is projecting a possible target of $166.
In this weekly close only Point and Figure chart of CAT, below, we see a potential downside price target of $198 - not as bearish as the daily chart above.
Bottom line strategy: Traders who went long CAT in June should continue to hold those positions risking to $195 still. Strength above $220 will improve the picture.
