Two stocks identified by Cycles Research as superior in terms of relative strength and price cycles are Walt Disney and American Express. Walt Disney, a large-cap stock in the entertainment sector, is showing positive momentum and a breakout from a falling wedge formation on the monthly chart. The stock is not overbought on a monthly basis, which sets it apart from other large-caps. The monthly cycle is projected to rise through 2024, confirming the positive technical outlook for the stock. The stock could potentially reach $150 by the end of the year.
On the other hand, American Express, a large-cap stock in the financial sector, has also shown promising technical signals. The stock has broken out of rectangles on both the weekly and monthly charts, indicating bullish momentum. The breakout suggests a potential price target of over $250 later in 2024. The relative strength of American Express has been approaching previous highs, indicating strong investor interest in the stock. The monthly histogram shows that April has historically been the strongest month for AXP shares, with a 67% rise over the last 45 years.
Both stocks are part of Cycles Research’s scan of the S&P 100 index, which looks for stocks that are not only large-cap but also exhibit superior relative strength and price cycles. Walt Disney and American Express both meet these criteria, with strong technical patterns and positive momentum in their respective sectors. While neither stock is in the technology sector, they have both shown resilience and potential for growth in the current market environment. Investors may consider adding these stocks to their portfolios based on the positive technical outlook and potential for upside price movement.
The financial sector has been gaining strength, with American Express standing out as a top performer within the sector. The breakout from rectangles on the weekly and monthly charts signals a bullish trend for the stock, with a potential price target of over $250 later in 2024. The relative strength of American Express has been approaching previous highs, indicating strong investor interest in the stock. The monthly histogram also shows that April has historically been a strong month for AXP shares, with a 67% rise over the last 45 years.
In summary, Walt Disney and American Express are two large-cap stocks that have been identified by Cycles Research as having strong relative strength and positive price cycles. Both stocks have shown promising technical signals, with breakout patterns and positive momentum in their respective sectors. Investors may want to consider adding these stocks to their portfolios based on the positive technical outlook and potential for growth in the coming months.
