Fertilizer producer Mosaic Company (MOS) recently returned to the Green Favored Zone in the SIA S&P 500 Index Report for the first time since June from a summer dip into the yellow zone. The shares continues to rocket up the relative strength rankings and finished yesterday in 15th place up 3 spots on the day and up 175 places in the last month.
Over the course of the spring and summer, Mosaic trends downshifted from an upward trend into a sideways consolidation range between $28.25 and $38.25. Following two successful tests of support at the bottom of this range, the shares have been on an upswing lately, breaking through $34.25, which has become new support, and rallying up above $35.00.
A breakout over $38.25 to a new 52-week high would signal the current pause has ended and accumulation has resumed. Should that occur, next potential upside resistance may appear near the $40.00 round number, then $46.25 and $48.25 based on measured moves.
Mosaic Company (MOS) shares have regained their footing following a summer correction, completing a bullish Double Top pattern which called off a previous double bottom. It would take a breakout over resistance at the June peak near $37.60, however, to break out of the current sideways range, complete a pending bullish spread triple top pattern, and confirm that the shares’ long-term uptrend as resumed.
On a breakout, vertical and horizontal counts suggest next potential resistance may appear near $42.35, 44.05 or $45.80 on trend. Initial support appears near $33.35 based on a common 3-box reversal.
With its bullish SMAX score increasing to a perfect 10, MOS is exhibiting strength across the asset classes.
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