by Shane Ormond
On May 21, 2020
Target reported that online sales on an average day in April exceeded last year’s Cyber-Monday sale, because if you’re not going to buy a Cuisinart Perfectemp 14 Cup Programmable Coffee Maker at the end of the world, when are you gunna buy one?
Yesterday, we looked at a chart of Apple, Inc., and noted that the stock had been making a series of higher highs and higher lows for a year now.
Today’s Chart of the Day is for Walmart Inc. (NYSE: WMT).
Now, below is a 10-month Simple Moving Average chart.
Back in August 2018, the WMT 1-month moving-average line crossed above the 10-month simple moving-average (SMA) indicating WMT is on a PowerTrend ‘buy’ signal (circled).
And guess what happened next…
Sure enough, Walmart prices continued to climb.
If you had purchased shares of WMT when the ‘buy’ was signalled for the stock back in August 2018, at around $95.80, you’d be up 24.3% by now.
Not a bad profit, for a little-over-a-year-hold of a major retailer.
Now, as you can see, the 1-month moving-average is still above the 10-month SMA. That means the bullish trend is still in play!
As long as the 1-month Price remains above the 10-month SMA, the stock is more likely to keep trading at new highs in the coming days and weeks.
We’ll continue to pay attention to WMT as it trends upward, so we’ll know the moment market conditions shift and the stock trends downward.
Editor, Chart Of The Day