Transcontinental (TCL-A-T, Tuesday’s close $20.84) declined from $26.45 in August, 2021 to $10.11 in November, 2023 (A-B) below a falling trendline (dotted line) and below the falling 40-week Moving Average (40wMA). The stock rallied above these indicators in late-2023 to signal the end of the downtrend (C). On September 4, 2024 ($16.54) we suggested that a rise above $17.00 would support a target of $19.50. Soon after, Transcontinental rallied to a high of $18.85 in December (D). The recent decisive rise above $19 (dashed line) signaled the resumption of the uptrend (E). There is good support near ±$18.50; only a sustained decline below this level would be negative.
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Point & Figure measurements provide a target of $24. Higher targets are visible.
Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart source: www.decisionplus.com