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Charter Communications Inc. (CHTR) - September 1, 2023

Charter Communications is a broadband connectivity company and cable operator through its Spectrum brand providing a range of residential and business services including Spectrum Internet, TV, Mobile, and Voice. The growing demand for high-speed Internet, including broadband, has aided cable television industry participants like Comcast and Charter. Improving Internet speed is fueling the demand for high-quality video and strengthening the broadband ecosystem in international markets with the proliferation of smart TVs.

Charter Communications Inc (CHTR), the second-largest US cable company, has risen quickly in the SIA S&P 100 Index Report over the last month to sit in the middle of the Favored zone. It has now risen to the 13th spot in the rankings after spending much of the last 2 years in the Unfavored zone where the stock went from $740 to around $300. CHTR moved into the Favored zone on August 15th and has risen 9 spots in the last week and 45 spots over the last month in the SIA S&P 100 Index Report.

Charter Communications has seen a breakout from its trading range upwards towards the $450 level. After trading between $300 and $400 for most of the last 9 months, CHTR has seen a rise above this recent channel. This could start a new channel between $410 and $510 where it had spent most of April to September in 2022. A golden cross was triggered where the 50-day moving average moved above the 200-day moving average in early August potentially signaling a positive breakout which the company hadn’t seen this type of cross on a dividend adjusted chart since October of 2018.

Looking at a point and figure chart for Charter Communications Inc (CHTR) at a 2% scale shows the recent move in light of its past years major decline that it is trying to claw back.

Now in a Spread Double Top chart pattern, CHTR has moved above its prior YTD high from February breaking through prior resistance which now turns into its first support level at $414. Further support can be found below this at $382.83.

Resistance above can be found at around the $495 level which is currently around a 10% move above the current price of $438. Further resistance above could be found at $557.

With an SMAX score of 10 out of 10, CHTR is showing near-term strength against all asset classes.

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