Caterpillar Inc. (CAT/NYSE): general analysis
Caterpillar Inc. (CAT/NYSE): general analysis
| Scenario | |
|---|---|
| Timeframe | Intraday |
| Recommendation | BUY STOP |
| Entry Point | 142.00 |
| Take Profit | 147.00, 150.00, 155.00 |
| Stop Loss | 140.35 |
| Key Levels | 124.00, 130.00, 135.50, 142.00, 146.50, 151.50 |
| Alternative scenario | |
|---|---|
| Recommendation | SELL STOP |
| Entry Point | 135.45 |
| Take Profit | 126.00, 121.00 |
| Stop Loss | 140.00 |
| Key Levels | 124.00, 130.00, 135.50, 142.00, 146.50, 151.50 |
Current trend
From the minimum of March 25, Caterpillar shares have been growing and are now trading at a discount of 1.1% to the December 5-month high. Financial results for the past quarter will be published on April 24, before the market opens. Wall Street forecasts earnings per share to increase by 1.42% YoY to $2.86, with revenue increasing by 4.39% YoY to $13.42 billion.
Over the last week, Caterpillar shares rose by 3.59%. The S&P 500 index increased by 2.05% for the same period.
Support and resistance
The "bullish" moods prevail. Last week, #CAT quotes renewed local highs. The issuer reached a key resistance of 142.00. The level of 135.50 acts as a “mirror” support. There is potential for further growth. The indicators signal the strength of buyers: the price has fixed above the MA (50) and MA (200); MACD is in the positive zone. It is better to open the positions from the key levels.
A comparative analysis of company multipliers and competing companies in the industry indicates the neutrality of #CAT.
Resistance levels: 142.00, 146.50, 151.50.
Support levels: 135.50, 130.00, 124.00.
Trading tips
Long positions can be opened after the price consolidates above the level of 142.00. The closing of the profitable positions is possible at the levels of 147.00, 150.00 and 155.00. Stop loss will be located at 137.00.
Short positions can be opened after the price consolidates below the level of 135.50 with the targets at 126.00–121.00. Stop loss is 140.00.
Implementation period: 3 days.
From the minimum of March 25, Caterpillar shares have been growing and are now trading at a discount of 1.1% to the December 5-month high. Financial results for the past quarter will be published on April 24, before the market opens. Wall Street forecasts earnings per share to increase by 1.42% YoY to $2.86, with revenue increasing by 4.39% YoY to $13.42 billion.
Over the last week, Caterpillar shares rose by 3.59%. The S&P 500 index increased by 2.05% for the same period.
Support and resistance
The "bullish" moods prevail. Last week, #CAT quotes renewed local highs. The issuer reached a key resistance of 142.00. The level of 135.50 acts as a “mirror” support. There is potential for further growth. The indicators signal the strength of buyers: the price has fixed above the MA (50) and MA (200); MACD is in the positive zone. It is better to open the positions from the key levels.
A comparative analysis of company multipliers and competing companies in the industry indicates the neutrality of #CAT.
Resistance levels: 142.00, 146.50, 151.50.
Support levels: 135.50, 130.00, 124.00.
Trading tips
Long positions can be opened after the price consolidates above the level of 142.00. The closing of the profitable positions is possible at the levels of 147.00, 150.00 and 155.00. Stop loss will be located at 137.00.
Short positions can be opened after the price consolidates below the level of 135.50 with the targets at 126.00–121.00. Stop loss is 140.00.
Implementation period: 3 days.
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