United Rentals has trended higher since October, and some traders may see opportunities in its current pullback.
The first pattern on today’s chart is the rally to new highs on January 25 after earnings beat expectations. The industrial stock has held that move without a significant retracement, which may suggest that buyers outnumber sellers.
Second is the falling trendline since March 4. URI is now challenging that short-term resistance.
Third is the series of higher weekly lows since the beginning of February.
Next, prices have pulled back to hold the 21-day exponential moving average (EMA). The 8-day EMA is also above the 21-day EMA. Those patterns may reflect an uptrend.
Finally, the February 12 close of $663.53 was resistance through the end of the following week. URI has pulled back to form a hammer candlestick at the same level. Has old resistance become new support?
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Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at www.TradeStation.com/DisclosureOptions. Before trading any asset class, customers must read the relevant risk disclosure statements on www.TradeStation.com/Important-Information/. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.
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TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit www.TradeStation.com...isclosureTSCompanies for further important information explaining what this means.
The first pattern on today’s chart is the rally to new highs on January 25 after earnings beat expectations. The industrial stock has held that move without a significant retracement, which may suggest that buyers outnumber sellers.
Second is the falling trendline since March 4. URI is now challenging that short-term resistance.
Third is the series of higher weekly lows since the beginning of February.
Next, prices have pulled back to hold the 21-day exponential moving average (EMA). The 8-day EMA is also above the 21-day EMA. Those patterns may reflect an uptrend.
Finally, the February 12 close of $663.53 was resistance through the end of the following week. URI has pulled back to form a hammer candlestick at the same level. Has old resistance become new support?
TradeStation has, for decades, advanced the trading industry, providing access to stocks, options and futures. See our Overview for more.
Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose. Online trading is not suitable for all investors. View the document titled Characteristics and Risks of Standardized Options at www.TradeStation.com/DisclosureOptions. Before trading any asset class, customers must read the relevant risk disclosure statements on www.TradeStation.com/Important-Information/. System access and trade placement and execution may be delayed or fail due to market volatility and volume, quote delays, system and software errors, Internet traffic, outages and other factors.
Securities and futures trading is offered to self-directed customers by TradeStation Securities, Inc., a broker-dealer registered with the Securities and Exchange Commission and a futures commission merchant licensed with the Commodity Futures Trading Commission). TradeStation Securities is a member of the Financial Industry Regulatory Authority, the National Futures Association, and a number of exchanges.
TradeStation Securities, Inc. and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., both operating, and providing products and services, under the TradeStation brand and trademark. When applying for, or purchasing, accounts, subscriptions, products and services, it is important that you know which company you will be dealing with. Visit www.TradeStation.com...isclosureTSCompanies for further important information explaining what this means.