Caterpillar Inc. Stock Code CAT.NYS
Outlook
Price broke and closed below the cloud in the previous trading session, changing the chart outlook to bearish. Conversion and Base lines had a bearish crossover earlier, hinting at a bearish price trend. Lagging Span is below the price of 26 days ago but is inside the cloud. MACD is bearish with both lines below the zero line. MACD had given a bearish divergence warning of a price high earlier. We think price is likely to move lower to the next support level at $181.84 in the next 2-3 weeks.
Strategy
$197.85 Sell
$181.85 Price Target
$209.40 Risk Management Stop
3 weeks Trade Duration
