Here’s your trade on L3Harris: $LHX (April 16, 2020)

by DAN LHX 
This is Scott with your Free Chart of the Day. I want to take a look at L3Harris Technologies ( NYSE: LHX ); it is in the aerospace and defense sector. While most of these stocks haven’t been performing particularly well LHX ( NYSE: LHX ) is back above the 50-day moving average.

Yesterday we had a chance to roll over, that dip was bought and even though it did pull back it pulled back on low volume. Today it recaptured the 50-day moving average and did it on higher volume. So buyers are sticking around this 50-day moving average on LHX ( NYSE: LHX ).

If I flip to an hourly chart and zoom out a bit you can see it’s in a nice hourly uptrend continually printing higher highs and higher lows. Back on the daily chart I think what you want to look for is a move above 199.00; maybe have an alert just above 199.00.

If you take this trade you would want a stop-loss just below yesterday’s low. So from 199.00 to 191.00 you are risking about 4 percent on this trade; maybe start small and add if it keeps working. If we can recapture this blue line, the 200-day moving average, then potentially we could see this chug along back to the recent highs.

I hope that works for you, a quick and dirty one tonight.

Free Chart