Big defense contractors got slammed in late January as the market priced in a worst-case sequester scenario in about seven trading days. LMT firmed after this sharp decline and then surged with a long hollow candlestick on Wednesday. This move was strong enough to push CCI above 100 and trigger a bullish signal on our predefined scans page.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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