LMT Stock: Forever Stock
BUZ INVESTORS Supporting Lockheed Martin Last week, the United States retaliated against the Syrian regime by bombarding an airbase with rockets after the Syrian government reportedly used chemical weapons on a rebel-occupied part of the country. Geopolitical tensions are now on the rise, and the word “war” is being floated around by media outlets.
For companies like Lockheed Martin Corporation (NYSE:LMT) that arm the United States military, this presents an investment opportunity.
Despite what many people may think, the onset of war and geopolitical tensions can cause investments like LMT stock to sell off. In many cases, shares pop on the news that a war has begun and then they quickly begin to sell off in the days ahead. This may sound counterintuitive, but the news causes investors to react, and, as retail investors are entering Lockheed Martin stock, savvy investors are heading for the exits.
OTHER STORIES BUZ TRADERS FOLLOW
Supporting Lockheed Martin
Lockheed Martin shares spent the majority of 2009–2012 trading on support outlined by this ascending channel. In 2013, Lockheed shares began to separate from support. This acceleration in the share price is suggesting that the next logical objective for Lockheed Martin shares is resistance outlined by the ascending channel. This level sits near $400.00, and the longer it takes to achieve this level, the higher the eventual target becomes.
ockheed Martin shares have been trading above the 200-day moving average on a sustained basis since 2012. This is when the shares began to accelerate away from support outlined by the ascending channel. This moving average is acting as the crutch that supports Lockheed Martin shares as they trend higher.
I would use this moving average as an opportunity to acquire shares on any price weakness. Every attempt to fall below the 200-day moving average has been thwarted, as buyers are eager to step in and buy shares at this prevailing price level. This is assuming that the bull market in LMT stock is still intact, and that the ultimate target is resistance outlined by the ascending channel. This bullish trend has been in development for 3.5 decades, and I do not see it ending any time soon
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