Set the Thermostat Higher – Honeywell is Moving Up
- Posted by Greg Harmon
- on November 5th, 2012
Honeywell, $HON, the maker of control systems, including your thermostat, has had a strong move higher since June continuing the long term trend higher since the 2009 bottom. From the daily chart below it shows a break of the short term resistance at 62 two weeks ago on their earnings report followed buy a Tweezers Top. The pullback found support at the rising trendline and is now
building a bull flag just under those highs. The Relative Strength Index (RSI) and Moving Average Convergence Divergence indicator (MACD) both support a continued push higher. The Measured move out of the flag higher takes it to 64.40. but it does not have to end there. The monthly chart shows that it is moving higher in the Andrew’s Pitchfork with no sign of letting up. Use the break over 63 as a long term entry and ride it higher. Oh and by the way, it also pays a 2.60% dividend to help pass the time.
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Dragonfly Capital Views Performance Through October 2012 Expiry
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The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.
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Gregory W. Harmon CMT, CFA, has traded since 1986 and held senior positions including Head of Global Trading, Head of Product Development, Head of Strategy and Director of Equity. (More)

