Caterpillar, CAT, is one of our top technical ideas coming into the week.
CAT is in an uptrend of higher highs and higher lows, and trading above the rising 50, 100 and 200-day moving averages.
From a trend perspective, the 20-day moving average is also rising, indicating an uptrend on multiple time frames.
CAT recently pulled back 8.2% from 6-month highs and held the rising 50-day moving average below, a bullish signal.
$120 is key downside support and a move over $145 and $150 could signal a breakout higher.
Larry is the publisher of the Blue Chip Daily Trend Report.
The author has a long position in CAT at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.