Chart of the Day: This Recent Addition Has a Bullish Look to It
With the economy humming right along (GDPNow sees this quarter tracking at 3.3%) the strength is often seen in the transportation sector. While the Dow Transports are quite a distance from all-time highs, unlike the Industrials which are knocking on the door, it seems there is some room for improvement from the transportation group. This is all about “planes, trains and automobiles,” and one of the better groups to consider is trucking.
Paccar ($PCAR) is a well-known manufacturer of heavy trucks and provides equipment, trucks and services to many Fortune 500 companies. You may know some of their more famous brands, Peterbilt or Kenworth.
We recently added Paccar to TheStreet Pro Portfolio as as we like the opportunity the company provides for stability, strength, growth, and income (only a 1.18% yield though).
The chart is interesting and has a nice bullish look to it. Higher highs, higher lows after testing some recent historical levels is bullish. While the candles are still pink we recognize the stock has just started a nice uptrend pattern, so this should change very soon.
Money flow (bottom pane) is very strong, MACD is on a buy signal, and the parabolic SAR (stop and reverse) is on a buy. Nothing wrong here, we added at a good spot and will use pullbacks to add more shares.
We like Paccar in TheStreet Pro Portfolio and rate it a Two, or “stockpile on pullbacks.”
More Pro Portfolio:
- We’re Initiating a New Position in a Trucking Play
- Tracking 26 Signals Across 11 of Our Portfolio Investment Themes
- Weekly Roundup: Portfolio Maintains Lead as Select Holdings Do the Heavy Lifting
At the time of publication, TheStreet Pro Portfolio was long PCAR.
