Lam Research Is Breaking Out
As we have seen market rotation occur lately from higher beta to energy and financials, it is the semiconductor space that has been driving the positive market action since midsummer. Lam Research Corporation (LRCX) has long been a leader in the group, and with a very positive month with strong turnover, this stock is breaking out in a big way.
See the pullback to the 20-day moving average and the powerful move up on Wednesday. That is bold -- but certainly the money flow also tells the story. Moving Average Convergence Divergence is now on a buy signal and will be confirmed later in the week. Relative strength has a very steep slope and continues to outperform the market. We could see $200 on this very soon.
This commentary was originally sent to subscribers of Trifecta Stocks on Sept. 28. Click here to learn more about this dynamic portfolio and market information service.
At the time of publication, Lang had no positions in the securities mentioned.