Daily Stock Report

Celestica Inc. - (CLS.TO) - January 31, 2022

Electronics manufacturer Celestica (CLS.TO) started to climb up the rankings in the SIA S&P/TSX Composite Index report last summer. In July it left the red zone and in November it returned to the Green Favored Zone where it has remained, returning 20.9%. On Friday, CLS.TO moved up 12 spots to 25th place. 

Celestica (CLS.TO) shares spent the better part of three years stuck in a sideways trading range between $8.00 and $12.00. Accumulation resumed in July after the shares bounced up off support at a higher low near $9.00. Since then, they have been trending upward and in November, they broke out to the upside, signaling the start of a new uptrend. Last week, the shares completed a Bullish Engulfing candle and popped to their highest level since the summer of 2018 on a jump in volume, indicating increasing investor interest. 

Some initial resistance may appear near $16.50, followed by $20.00 where a measured move, round number and the 2017 peak cluster together. Initial support appears at the 50-day moving average near $13.90, followed by the $12.00 breakout point.  

Last fall, Celestica (CLS.TO) broke out of a base clearing $12.00 and has continued to climb since then, establishing a new uptrend of positive pattern completions and higher lows. Recently the shares completed a bullish Double Top breakout that has evolved into a High Pole advance carrying the shares to their highest level since 2018. 

Horizontal and vertical counts suggest potential resistance near $18.65, then $19.40 followed by the 2017 peak near $20.15, just above the $20.00 round number. Initial support appears near $14.70 based on a 3-box reversal. 

With a perfect SMAX score of 10, CLS.TO is exhibiting strength across the asset classes.  

Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.