Shares of Honeywell (HON - Get Report) are moving higher Thursday, the last trading session for U.S. stocks on this holiday-shortened week. 

The stock is getting a boost after the company beat on first-quarter earnings and revenue expectations. Honeywell earned $1.92 per share, 8 cents more than analysts expected, on sales of $8.9 billion. Revenue beat consensus estimates by $260 million and grew 8% year-over-year.

Honeywell stock was hot coming into the report, notching a 52-week high on Wednesday. However, shares are again pushing further into new-high territory after a top- and bottom-line beat and better-than-expected guidance.

It brings up a key question of just how far Honeywell stock can run.

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"Overall, this was a fantastic quarter for Honeywell and the 8% organic growth (which could be industry-high this earning season) underscores the transformative nature of 2018's portfolio actions," the AAP team wrote Thursday morning.

Trading Honeywell Stock

Nine-month daily chart of Honeywell stock.
Nine-month daily chart of Honeywell stock.

Above is a daily chart of Honeywell, showing just how strong the stock has been so far this year. Shares are up almost 30% in 2019 and could certainly have more room to go. That said, the stock is technically overbought, with the relative strength index, or RSI, currently north of 76.

As long as Honeywell stock maintains channel support, though, the stock will remain a buy-the-dips candidate. It has room up to channel resistance and could "melt up" to that level should Honeywell maintain momentum and if the overall market holds up.

While it would discouraging to see Honeywell stock give up all of its earnings gains and then some, as long as it holds over the prior breakout at $160, then the bulls are still OK. That's something that shows up on the two-year weekly chart, too, which is below.

Two-year weekly chart of Honeywell stock.
Two-year weekly chart of Honeywell stock.

The $160 level is pretty clear in Honeywell stock, with the 10-week moving average just below at $157.50. The stock is now also above channel resistance on the weekly chart, which comes into play near $165. Thus, $165 becomes the short-term "must-hold" level for Honeywell stock to persist higher.

$160 is the real must-hold in the intermediate-term, though. If it holds on a pullback, it's worth considering Honeywell stock on the long side. Below could trigger a move down to $150. 

This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.