On Wednesday, we looked at the strong uptrend confirmed with the solid trendline in place for Caterpillar (CAT).
Today, we’re going to take a look at Kellogg Co. (K).
K produces convenience foods — including the greatest cereal of all time, Frosted Flakes. You may disagree with Frosted Flakes being the greatest cereal of all time… and that’s OK, it only means you haven’t eaten enough of it!
Stocks such as K don’t get much attention from retail traders because they don’t usually see the huge moves associated with technology stocks.
The truth is, these types of stocks can have PowerTrend signals as well, and sometimes the lower volatility is welcome.
Let’s take a look at K’s daily chart below:
K zipped out of its upper Keltner Channel in late July, but has since pulled back to test the midline of that channel, as well as put in a third test of a trendline.
The stock has started its bounce off that trendline, and since it’s still inside the upper Keltner Channel, it can start being watched for a buy signal.
See ya tomorrow!
Analyst, Chart Of The Day