Wednesday, July 13, 2011

Deere & Co (DE) **REQUEST** 7/13

By request, here is the daily chart of the deere company (DE) to the left. Right now it looks like it is in the 1st-2nd SD area of its regression channel (shown in green) of the most recent down move from its highs. It also held its first retracement (@86.5ish, shown in yellow) quite well recently and that is always something you want to see in a healthy trend. I think that we should expect to see a reaction at the second standard deviation green line if we are to continue lower, and would especially want to see us get below the 1st deviation soon. I think ultimately at this point its a sell, but it would be invalidated if it closes above the 2nd SD / first retracement lines.