Mid-cap U-Haul parent company Amerco (UHAL) has been looking pretty bullish for the past year. Shares have more or less doubled in the last 12 months, even in spite of the fact that they've been consolidating sideways since mid-March. And this summer, UHAL's price action points to even higher ground.
That's because UHAL is currently forming an ascending triangle pattern, a price setup that's formed by a horizontal resistance level above shares at $180 and uptrending support to the downside. Essentially, as UHAL bounces in between those two technical price levels, it's getting squeezed closer and closer to a breakout above resistance. When that happens, we've got a buy signal in shares.UHAL generally sees pretty light trading volume. For that reason, it makes sense to be particularly careful entering a trade in UHAL -- a breakout could send less-disciplined traders chasing this stock above $180. The ascending triangle looks textbook right now; if you decide to buy the breakout, keep a tight protective stop in place.
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