Here’s your trade on Heico $HEI – October 16, 2024

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This is Scott McGregor at Scott Trades on Twitter with StockMarketMentor.com and your Chart of the Day. I want to take a look at Heico Corporation ( NYSE: HEI ).

HEI ( NYSE: HEI ) is in the aerospace and defense sector. As you can see it’s in a pretty well-defined uptrend for most of the year. Every now and again we get a test of the 50-day moving average. But the buyers have stepped in time and time again to buy the stock and hold it above that key moving average.

Today we actually had a bit of a dip under the blue line here, that’s the 21-day exponential period moving average. I like the fact that buyers stepped in under the 21-day establishing this area right around 256.00 as a pretty clear swing support zone. They closed it near the high of the day on a nice pickup in volume.

Now, I know a lot of stocks have earnings right now but Heico ( NYSE: HEI ) doesn’t have earnings until mid-December. So this is one of those stocks they actually don’t have to worry about for a couple of months. What I would do here from Heico ( NYSE: HEI ) is keep an eye on it for a breakout above this high here.

You can see this pretty clear resistance from the other day right around 267.00. So I would have an alert just above 267.30 and then look for a strong move through that level, coming on volume. That would be a nice follow-through after the couple of weeks consolidation that the stock has been in.

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