On Friday, we looked at a Monthly Price Chart of Activision Blizzard Inc., noting the stock is on a PowerTrend ‘buy’ signal.
Today’s chart is for Teradyne, Inc. (NASDAQ: TER).
Teradyne, Inc. designs, develops, manufactures, sells, and supports automatic test equipment worldwide. The company operates through Semiconductor Test, System Test, Industrial Automation, and Wireless Test segments.
Now, the Daily Price Chart below shows that TER has been making a series of 52-Week Highs since mid-June.
Plain and simple… a stock just doesn’t hit a new 52-Week High unless it is in a very powerful uptrend.
That said, stocks in a price uptrend do not advance in a straight line.
Since there are always price retracements along the way, our job is to track and wait for them.
TER experienced periodic price pullbacks during its strong advance since late March.
Traders can get a lower risk entry point after a 3% to 5% price retracement as the stock normally resumes its price uptrend after such retracements.
We’ll be sure to continue following Terdyne, Inc. as it climbs to new heights, and we’ll continue to watch for price retracements.
Editor, Chart Of The Day