Wed, July 31, 2024 | 7:13PM ET

Upticks - July 2024

Name: FS Insight
Price range: $$$

Mark L. Newton, CMT ^AC

Head of Technical Strategy

Upticks – Newton’s Law

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(New Additions in Bold )

Upticks - July 2024 — Source: Fundstrat, Bloomberg

Upticks Additions

General Electric – GE
Dover- DOV
Kimco Realty – KIM
Hovnanian Enterprises Inc. – HOV

Upticks Deletions

Deckers Outdoors – DECK – Removed on 7/10
Microstrategy- MSTR – Removed on 7/10

UPTICKS Total Return vs. SPY, since inception

Upticks One Month Contribution to Performance (June 30th to July 31st)

Upticks Additions Commentary

General Electric – GE ($170.20)

Support- $145, $125; Resistance- $201, $289

GE’s high-volume breakout of the recent 2.5 month consolidation bodes well for continued upside follow-through to $201 in the near-term, with intermediate-term targets found at $289

GE’s recent push above 2016 highs should result in a coming test of 2007 highs
Breakout back to new all-time highs in XLI bodes well for sector leaders like GE to show further gains into August

Dover – DOV ($184.26)

Support – $174, $160; Resistance – $200, $217

DOV remains a top stock within Industrials given its technical structure and minor evidence that a breakout back to new highs could be approaching.

Consolidation near 2021 all-time highs over the last two months has not taken away from its technical attractiveness, and this looks appealing ahead of a possible move up to 200, then 217.

Volume on gains back on 7/25 proved to be the highest of the year and arguably should allow for coming follow-through to test and exceed July peaks.

Industrials strength back to new all-time highs bodes well for additional strength out of this sector, and DOV looks appealing ahead of a possible breakout into August.

Hovnanian Enterprises – HOV ($209.89)

Support – $190, $184; Resistance – $263, $317

Breakout to new decade highs following a lengthy base from 2009 should drive HOV to $263 and eventually to $317. Dips should make HOV appealing near $190 to buy dips.

HOV looks set to show some mean reversion higher within Homebuilding following a lengthy sideways period that has just begun to move to yearly highs, but remains well off its all-time highs.

Treasury yields falling sharply should benefit Homebuilders in the months to come and until this group starts to weaken, it’s right to expect further strength.

Kimco Realty – KIM ($21.73)

Support – $20.69, $20.11; Resistance – $23.80, $26.50

KIM’s strength over the last few months has been sufficient to break out of downtrends from 2022 and should lift this to test the eight-year downtrend from 2016 as REITS slowly but surely, in my view, improve.

REITS have outperformed all other 11 S&P SPDR Select sectors over the last month, with returns of +7.50% through 7/31/24.

Movement up to $23.75 looks likely and above this level arguably would drive acceleration up to $26.50-$28.

*Prices are as of 7/31 close.

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Mark L. Newton, CMT, the research analyst denoted by an “AC” on the cover of this report, hereby certifies that all of the views expressed in this report accurately reflect his personal views, which have not been influenced by considerations of the firm’s business or client relationships. Neither I, nor a member of my household is an officer, director, or advisory board member of the issuer(s) or has another significant affiliation with the issuer(s) that is/are the subject of this research report. There is a possibility that we will from time to time have long or short positions in, and buy or sell, the securities or derivatives, if any, referred to in this research.

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