• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing

Whirlpool's Charts Tell Me the Stock Is Still in the Spin Cycle

Let's see if it's the right time to go long.
By BRUCE KAMICH
Oct 22, 2021 | 07:50 AM EDT
Stocks quotes in this article: WHR

In his first "Executive Decision" segment of Mad Money Thursday night, Jim Cramer spoke with Marc Bitzer, chairman and CEO of Whirlpool (WHR) , the appliance maker. The company posted mixed results after the close of trading Thursday.

Bitzer explained that he's built a different Whirlpool for a direct world. Whirlpool is no longer a cyclical, boom-and-bust company, he said. In fact, Whirlpool has delivered four years in a row of record profits.

"The shortages are real," Bitzer responded when asked about their challenges. There are labor shortages, component shortages, chip shortages and transportation issues, all of which are causing delays.

Turning to the topic of inflation, Bitzer said that too "is real," but has been something Whirlpool is able to deal with. He expected the challenges to carry over into next year.

Let's check out the charts of WHR.

In this daily bar chart of WHR, below, we can see that prices made a new low for the move down this month and trade below the declining 50-day moving average line. A bearish dead or death cross happened recently as the 50-day line fell below the 200-day line.

The On-Balance-Volume (OBV) line peaked in early May and is still pointed lower. The Moving Average Convergence Divergence (MACD) oscillator crossed to the upside from below the zero line. This is a cover shorts buy signal and the indicator remains well below the zero line.

In this weekly Japanese candlestick chart of WHR, below, we see a picture that is struggling. Prices have been trading below the cresting 40-week moving average line. The weekly OBV line turned lower from May telling us that sellers of WHR have been more aggressive. The MACD oscillator is crossing below the zero line this month for an outright sell signal.

In this first Point and Figure chart of WHR, below, we used daily price data and see that the software is projecting a possible bounce to the $235 area.

In this second Point and Figure chart of WHR, below, we used weekly price data and here the software is projecting a downside price target in the $167 area.

Bottom line strategy: The charts and indicators of WHR are not strong enough looking for me to recommend entering the long side. Stand aside for now.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are prohibited from trading individual securities.

TAGS: Earnings | Investing | Stocks | Technical Analysis | Trading | Household Products | Consumer Staples | Mad Money | Executive Interview

More from Investing

The Bears Just Moved Into Wall Street

James "Rev Shark" DePorre
Sep 22, 2023 4:26 PM EDT

Technically, the bears are in control of this market now.

3 Overlooked Mid-Cap Stocks With High Dividend Yields

Bob Ciura
Sep 22, 2023 3:00 PM EDT

There are strong dividend stocks in this 'middle' category worthy of consideration for income investors.

Don't Be a Sap and Step Into a Value Trap

Bret Jensen
Sep 22, 2023 12:30 PM EDT

There are plenty of stocks that look like value plays but aren't as the market continues to drag more share prices down.

My Stock Pick for the Rest of 2023? The Big 'B'

Stephen Guilfoyle
Sep 22, 2023 11:17 AM EDT

Here's why I'm going with a diversified value name.

IBM Knocks on the Door of Its 52-Week High, But Nobody Answers

Bruce Kamich
Sep 22, 2023 10:45 AM EDT

Let's drill down to see the risk/reward conditions of the stock and why it may no longer be a 'Best Idea.'

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 12:20 PM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    Trading in Multiple Time Frames
  • 10:24 AM EDT BRUCE KAMICH

    This Could Get Messy

    A number of key stocks are getting close to import...
  • 01:41 PM EDT CHRIS VERSACE

    Latest AAP Podcast With Helene Meisler!

    Listen in as the Action Alerts PLUS podcast talks ...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2023 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login