I enjoy your insights – perhaps you can enlighten me on the short/ medium & long term outlook on BIN.
Thanks for the assignment! I last analyzed the shares of Progressive Waste Management Ltd. (BIN TSX) on August 17, 2011 at Carol’s request. The stock closed at $19.77 that day and it was advised that the downtrend didn’t appear ready to reverse.
A review of the charts will provide further evidence to help determine how to manage BIN.
The three year chart depicts a stock that is still struggling to move higher. There are a number of issues on the chart that need to be noted. Resistance along the 200 day moving average in October and resistance along the 50 day moving average in November. In addition the death cross that surfaced in August has not been resolved.
The RSI and the MACD are not currently signalling a shift in momentum to the upside on the six month chart. The stock has to hold at $19.00 if it is going to make a serious run at a new leg up.
I am still cautious about the prospects for BIN. It made a nice run to $23.75 in October, but gave it all back. Generally I am not tempted to chase a stock that doesn’t satisfy my criteria for a buy. Missed profits are soon forgotten, booked losses are always with us.
If you like the story, keep it under surveillance and watch for a bounce off of support. But keep in mind that it is going to take a lot of heavy lifting to reverse the downtrend.
Make it profitable day and happy capitalism!