The Dow Closes Over 15,000 – Time to Buy a Whirlpool

• Posted by Greg Harmon
• on May 7th, 2013

The Dow closed over 15,000 for the first time ever. New all time highs for the S&P 500 and Russell 2000 and the Nasdaq holding at 12 year highs. This move in the equity markets is still the most hated move higher ever. So what do you do? Go buy a washing machine! Well a washing machine stock at least. Whirlpool, $WHR, closed Tuesday at a new All time high as well, and is showing signs of continued upside out of the recent consolidation. The longer view chart shows the price piercing the all time high as

Whirlpool, $WHR

well as moving out of the consolidation range it has been in since the beginning of March. From a technical perspective the move to this consolidation from the the previous base at 62 projects a similar move higher to 165. But that is getting a bit ahead of ourselves. Zooming in on the most recent activity shows that the price has made a series of higher lows and higher highs. The current Measured Move will take it to 124,

but the Relative Strength Index (RSI) and Moving Average Convergence Divergence indicator (MACD) are both supportive of a continued move higher. Finally notice that the accumulation/distribution has been strong and is rising again. If that is not enough for you this also sports a 2.1% dividend yield.

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