Let's take a closer look.
In this daily chart of Lockheed Martin (LMT) - Get Report , above, we can see that prices are above the rising 50-day simple moving average line and the rising 200-day average. The on-balance-volume, or OBV, line is up from its January low but has moved sideways the past two months. The moving average convergence/divergence oscillator has declined to the zero line, but it is closer to a new buy signal as the two lines that make up the indicator have narrowed.
In this three-year weekly chart of LMT, above, we can see prices are above the rising 40-week moving average line. The OBV line is positive. the MACD oscillator is above the zero line but may issue a new liquidate-longs sell signal if the two lines cross. With plenty of chart support around $220, corrections in LMT, should they develop, should be relatively shallow.
Unsurprisingly, LMT significantly outperformed the market on the Friday selloff. LMT sits in an industry benefiting from serious secular growth (increases in defense spending), and on a stock-specific level, the company is known for its consistency in increasing dividend payouts. As we've noted time and again, stability and income generation will win out in this uncertain market and LMT fits the bill.
Northrop Grumman (NOC) - Get Report is still pointed up in this daily chart, above. Prices are above the rising 50-day and 200-day moving average lines. The OBV line is up from its September low and tells us that buyers of NOC have been more aggressive than sellers. The MACD oscillator is down from its May peak but is still above the zero line and could signal a new go-long signal.
This weekly chart of NOC, above, shows the long-term uptrend of NOC. Prices are above the rising 40-week moving average line. The OBV line is positive, and the MACD oscillator is above the zero line. The two lines of the MACD have narrowed, and they may or may not cross giving us a liquidate-longs signal. There is chart support in the $190-to-$180 area, so pullbacks, should they develop, should be relatively shallow.