Proctor & Gamble Co. (PG)

[stargazer]

Proctor & Gamble Co. (PG)


Strong buy signals...

[Roger]

Hey stargazer.

Could you specify your strong buy signals? Is it based on TA?

I remain sceptical on PG. I think i discussed it a while ago. In general PG shows stable earnings during the last years, and also nice growth. However, looking at prospects the p/e will remain above 10 up to 2010. Another important thing is the weak financial strength.
Concluding I see few upward potential, and some risks for this stock.

[stargazer]

Yeah TA.

Specifications:

1. The 5 exponential moving average crossed above the 20 exponential moving average for the first time in months.

2. By months, I mean the 5(ema) has been below the 20(ema) for the past 2 months or more and the stock has been falling during those months, before finally giving a buy signal (5ema crossing above 20ema).


3. The stock is on the NYSE (that's not set in stone. Apple's on the nasdaq, and I love the heck out of it).

4. Look at the stock at stockcharts.com, the Rabbit Q-Rank must be green for the stock.
But nowadays this doesn't matter anymore, with the recession and all...



Go to stockscharts and look at the chart, the stock had been falling from January, all the way through February, and the 5ema has been below the 20ema during that time. And then recently the 5ema crossed above the 20ema (the buy signal).


Take a look at my Aetna post back in Dec., and look at the chart, the 5ema below 20ema for 2 months or more.....and then later, the 5ema crossing above 20ema buy signal

Aetna
http://www.onlinetradersforum.com/showthread.php?t=77819

Is it the holy grail? No :) but of all my stockfetcher screens, this one's the best.

[Roger]

Okey it is TA. I agree with you that you can profit with TA in shortterm. You have good and multiple arguments for it.

My view is more longterm based. I think when recovery really starts PG will be an underperformer (less upward potential). One more negative aspect is the financial strength, which gives some extra risk.

[stargazer]

This one was kind of slow. It's moving up, but it's no Aetna, the 5 is still above the 20 and that's a good thing, it's still bullish.......but slow.

So who wants to sell? Or maybe stay in?