You won’t hear the Tiktok Influencers talking about $AGCO – March 1, 2023
This is Scott with your Chart of the Day. I want to talk about Argo ( NYSE: ARGO ). Now, Argo ( NYSE: ARGO ) is not one of those stocks you will probably hear the Tictok influencers promoting when they are talking about making SICK gains in the stock market. They are talking about self-traveling cars and Tesla. They are not talking about tractors and self-propelled sprayers and combines.
But that said, this stock is up 50 percent from the October low, and that is a pretty good move. Despite the volatility in the market the last couple of weeks, this stock has held up above all of its key moving averages. So that is some definite relative strength that I think warrants having this on your watch list.
Now, if I zoom out here, you can see this long consultative base. We are almost back to the 2021 highs. And while it did pull back it didn’t pull back that much compared to a lot of these big tech leaders. And it also has a gorgeous downward sloping trendline from the high back here in 2021, all the way down.
We have clear resistance, clear resistance, clear resistance, and clear resistance. And now we want to see how this stock acts now that we are back near a clear resistance zone. You can see how the last couple of months it has tried to get above the downward sloping trendline. It tried here, here, here, it even tried again today but it couldn’t do it.
But I think if this stock can break above, hold above, and do it on volume, it could present a potential character change on this chart. Where instead of getting rejected at this level, this level then acts as support and allows this stock to carry on higher.
So I think it definitely makes sense to have an alert on Argo ( NYSE: ARGO ) right around that 143.60 level. Maybe on that trendline or just above, and then you will want to see how the stock acts if it can get above, if it can stay above, and if you see that higher-than average-volume coming into the stock. So while it is not a sexy high-tech leader the pattern is not valid and I think warrants watching.
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