Stock of the day: Berkshire Hathaway
16 May 2023
In today’s stock of the day, I would like to show you a bullish situation on Berkshire Hathaway, a famous company run by Warren Buffet. If you are a fan of Buffet, you may be expecting good news here and yes, I do have some!
The situation on BRK is quite optimistic. The price is in a clear up-trend as we are making higher highs and lows. The price is trading way above the major up-trendline (black) connecting lows from October and March. In April, BRK broke a key horizontal resistance on the 320 USD (blue) that had been blocking gains since May 2022. After the breakout, the price tested the area as a support and the test was positive for buyers, as we saw a bullish bounce.
As long as we stay above the blue line, the sentiment is positive and the price will most likely be climbing higher. The price breaking below the blue area would be a negative sign, but the chances of that are rather limited now.