Mensajepor Nacho21 » Jue Ago 04, 2016 2:06 pm
A Reversal for Ternium SA (ADR) Is Not Near. The Stock Gaps Up
August 4, 2016 Richard Conner
The stock of Ternium SA (ADR) (NYSE:TX) gapped up by $0.05 today and has $28.78 target or 23.00% above today’s $23.40 share price. The 8 months technical chart setup indicates low risk for the $4.61B company. The gap was reported on Aug, 4 by Barchart.com. If the $28.78 price target is reached, the company will be worth $1.06 billion more. Gaps up are useful for using as a support level and to some extent as a tradeable event. If investors already hold the stock and experience a price gap up, then its usually a good idea to hold the stock for a stronger up move. Back-tests of these patterns indicate that two-thirds of the times the stock performance improves after the gap. The area gaps close 89% of the time, the breakaway gaps, 2%, the continuation gaps 4% and the exhaustion gaps 61%. The stock increased 11.53% or $2.42 on August 3, hitting $23.4. About 1.57 million shares traded hands or 377.22% up from the average. Ternium SA (ADR) (NYSE:TX) has risen 90.24% since December 29, 2015 and is uptrending. It has outperformed by 86.13% the S&P500.
Out of 4 analysts covering Ternium (NYSE:TX), 3 rate it a “Buy”, 0 “Sell”, while 1 “Hold”. This means 75% are positive. Ternium has been the topic of 7 analyst reports since August 10, 2015 according to StockzIntelligence Inc. HSBC initiated the stock on May 13 with “Buy” rating.
According to Zacks Investment Research, “Ternium is the leading producer of flat and long steel products of Latin America and consolidates the operations of the steel companies Hylsa in Mexico, Siderar in Argentina and Sidor in Venezuela. It create value with our customers, jointly improving competitiveness and productivity, through a highly efficient industrial and technological base and a global commercial network.”