Friday, June 15, 2012

Kellogg Breaks Out of Bullish Pattern

Kellogg (K) has broken through the top of a bullish pattern this morning.

The bullish "wedge" became active when price broke above $53.50. The catalyst appears to be a filing by Nelson Peltz's Trian fund showing a 2.9 million-share stake in the company taken in the fourth quarter, according to StreetInsider.com.

The yellow vertical line on the daily chart below shows upside potential for the pattern to the $56.50 area, presuming that it remains active. That would be a minimum objective. A move back below $53.50 would see the pattern become inactive.

(Chart courtesy of tradeMONSTER)

No comments:

Post a Comment