This may sound somewhat unbelievable, but many of the things that make our daily life easier were invented at this company – 3M. For this reason, at Warren Buffett’s behest, every self-respecting trader should watch for and purchase 3M equities, whose goods and services we all use.
But what is the motivation for buying into 3M? Multiyear upside in these shares looks simply too good to be true. The name appears to be visibly overpriced.
Sad but true. However, in addition to the high cost, there are also high aims. There is currently only one obstacle – the USD 188 mark (the 261.8% Fibonacci retracement level of the 2008-2009 downturn). That makes the gambit really quite simple: before buying into 3M let’s wait until it reaches the support level of a rising trend as of end 2011, around USD 132-135.
But what is the motivation for buying into 3M? Multiyear upside in these shares looks simply too good to be true. The name appears to be visibly overpriced.
Sad but true. However, in addition to the high cost, there are also high aims. There is currently only one obstacle – the USD 188 mark (the 261.8% Fibonacci retracement level of the 2008-2009 downturn). That makes the gambit really quite simple: before buying into 3M let’s wait until it reaches the support level of a rising trend as of end 2011, around USD 132-135.