Dollar Tree Inc. (DLTR) got an upgrade to buy Thursday from a major sell-side signal financial institution. Let's check out the charts now that a fundamental analyst has weighed in.
After a decline from October to the middle of March we have seen prices work higher. There was a rapid advance in May but volume was lacking and prices retreated. Prices are higher Thursday and trying to break out over the late May/early June peak. DLTR is above the still declining 200-day moving average line but above the rising 50-day line.
The movement of the On-Balance-Volume (OBV) line is a problem for the bulls as it has been in a decline since September until late May. There is a slight improvement in recent weeks but the bigger picture is that sellers of DLTR have been more aggressive for a longer period of time.
The Moving Average Convergence Divergence (MACD) oscillator is above the zero line and looks like it will turn up to a fresh buy signal.