The rally in CF Industries Holdings (CF) is only about three months old, but the chart pattern and indicators suggest we have a lot more on the upside for this producer of nitrogen fertilizer. Join me in looking at the latest charts below. <\/p>\n<\/p>\n
In this one-year daily chart of CF, above, we can see how prices bottomed from June through early November. Prices turned up smartly in November to close above both the 50- and 200-day moving averages. In late December there is a bullish golden cross of these two moving averages and both averages have positive slopes now. Leading prices, the On-Balance-Volume (OBV) line bottoms in June and starts up in August, telling us that aggressive buying preceded the price strength. Momentum has slowed since the strong rally in November, but I do not anticipate it will mean that prices correct. <\/p>\n<\/p>\n
This three-year weekly chart of CF, above, shows both the big decline of 2015 and the recovery so far. CF is now above the rising 40-week moving average line. The weekly OBV line is pointed up and the MACD oscillator crossed above the zero line in December for an outright go long signal. <\/p>\n<\/p>\n
This Point and Figure chart of CF, above, shows the breaking of a major downtrend along with the uninterrupted rally and a major upside price target of $67. Time is not important on a Point and Figure chart, so we have no idea when or if $67 might be reached. <\/p>\n
Bottom line: Traders and investors could go long CF here and on a close above $37.50. I would use a sell stop below $32 for now, but look to raise it on a close above $37.50. <\/p>\n
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The rest is here: <\/p>\n
CF Industries' Rally Just Starting to Grow - TheStreet.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" The rally in CF Industries Holdings (CF) is only about three months old, but the chart pattern and indicators suggest we have a lot more on the upside for this producer of nitrogen fertilizer. Join me in looking at the latest charts below. In this one-year daily chart of CF, above, we can see how prices bottomed from June through early November Continue reading