Nice gains for GT this week. Monday began with a gap higher open, today shares are up 2.8% extending this week’s rally to 7%. We expect more upside.
GT Story: At last month’s low the stock took out the 2015 lows. March’s close was GT’s lowest monthly close since July of 2013.
From the Jan. 2018 high to the Jan. 2019 low GT fell over 45%.
Divergent? Laggard? Since the December peak GT put in three straight lower monthly lows. It is working on a higher monthly low this month.
We believe GT has put in a solid base. A rebound from the March lows could be substantial. GT is a low risk buy near current levels. Initial support is on place near $19.15. On the downside a close back below $18.00 would under cut the April lows. More basing would likely follow.
At time of publication we do not have a position in GT.