In his "No-Huddle Offense" segment of Mad Money Thursday night, Jim Cramer said when it comes to the semiconductor stocks, the easy money has already been made and now investors need to look at the semiconductor stocks on a case-by-case basis. Here's a technical look at Western Digital Corp. (WDC) .
In this daily bar chart of WDC, below, we can see that prices have broken out over their September highs to refresh the uptrend. Prices are above the rising 50-day and the rising 200-day moving average lines.
The On-Balance-Volume (OBV) line looks like it has moved up to a slight new high to confirm the January breakout in price.
The Moving Average Convergence Divergence (MACD) oscillator is well above the zero line telling us that we have been in a strong uptrend but the oscillator turned to a take profits sell signal which is close to flipping back to a buy signal.
In this weekly bar chart of WDC, below, we can see that prices made a low in December 2018 and then a retest of that low in June of 2019. WDC is above the rising 40-week moving average line.
The longer-term trend of the OBV is down but we can see improvement the last two months.
The MACD oscillator is bullish on this longer-time frame.
In this daily Point and Figure chart of WDC, below, we can see a potential upside price target in the $93 area.
Bottom line strategy: WDC could trade sideways in the $70-$68 area for a few days or weeks but I would look for renewed gains with $93 as the next price target.
