Bullish on Louisiana Pacific

On July 9, 2016 ($18.48 [U.S.]), we reported that a rise over $19.50-$20.00 would indicate goals of $22 and $25 for Louisiana Pacific. These goals were reached and exceeded as the stock rallied and reached a high of $26.92 (A). The stock has since pulled back to support near its climbing 40-week Moving Average (40wMA — B) and now seems ready to resume the up-trend (C). Behaviour indicators including the climbing 40wMA as well as the climbing trend-line (solid line) affirm the positive status. Just a sustained decline below ±$22 would be negative. Point amp; Figure measurements provide goals of $27 and $29. The huge base (dashed lines) supports considerably higher targets.

Monica Rizk is the senior Technical Analyst and Ron Meisels is the president of Phases amp; Cycles Inc. (). And he tweets in @Ronsbriefs. They may hold shares in companies profiled.

Chart source:

Courtesy: The Globe And Mail

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