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RH  (RH) - Get Free Report shares were ripping higher on Friday, up more than 6% on news that Warren Buffett's Berkshire Hathaway (BRK.A) - Get Free Report (BRK.B) - Get Free Report has taken a stake in the retailer.

RH, perhaps better known as Restoration Hardware, is not necessarily the typical Berkshire investment. Then again, neither is  (AMZN) - Get Free Report .

But that only makes it look more attractive to many bulls, who have witnessed the stock's 2019 ascent. Shares of RH have jumped 50% over the past year and have more than doubled from their lows in May.

Berkshire gobbled up 1.21 million shares and while that may seem insignificant for a massive company like Buffett's, consider that RH has just about 18.6 million shares outstanding.

After a series of beat-and-raise earnings reports, momentum has been on Restoration's side. With Berkshire's stake, bulls are feeling even more confident. Now just a few dollars from new 52-week highs, can RH stock continue to rally?

Let's look at the charts to get a better picture of what's going on.

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Trading RH Stock

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The stock's current 52-week high sits up at $192, while $190 has been a pretty solid resistance barrier over the past month. With a solid economy entering the holiday season and clear momentum in RH's business, it wouldn't be surprising to see a run in the share price here.

Shares rallied up to the $190 area on Friday, but retreated after topping out at $190.50. Bulls will now want to see if Restoration can continue to push higher and close north of this mark.

Above $190 and the $192 high is the next obvious upside target, followed by $200. If it can clear its current highs, the only thing standing between RH stock and the $200 mark is trendline resistance (blue line), which has been in play for a year and has marked major tops in the stock price.

Most recently, this level came into play last month. It sent shares down more than $20 apiece, while the 50-day moving average buoyed the stock.

So what's the setup? Over $190 gives RH clear momentum to $192, and potentially $200 if trend resistance doesn't hit it too hard. If it can't advance, look to see if the 20-day moving average buoys the stock. Below that and the 50-day will be called upon as support. 

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