Four Second-Half Turnaround Stories Are Stocks Of The Dow

The Dow Jones Industrial Average ended last week on July 10 with a close of 17,760.41, down just 0.4% year-to-date and 3.2% below its all-time intraday high of 18,351.36 set on May 19. The Dow 30 is below its 50-day simple moving average of 17,970 and volatility since June 29 the index has traded back and forth around the 200-day simple moving average of 17,699 in each session. The Dow began the second half of 2015 with a modest gain of 0.8%.

The four turnaround stocks were first half losers that began the second half with solid gains. Coca Cola (KO) is up 3% so far in July shaving its year-to-date loss to 4.3%. Procter & Gamble (PG) is up 3.5% month-to-date cutting its year-to-date loss to 11.1%. Travelers (TRV) is up 4.5% so far in July and its year-to-date loss is down to 4.6%. Wal-Mart (WMT) is up 3.1% so far in the second half trimming its year-to-date loss to 14.9%.

Here are the weekly charts for the four turnaround Dow stocks. (Charts courtesy of MetaStock Xenith.)

Coca Cola closed at $40.39 last week on July 10 below its 50-day and 200-day simple moving averages of $40.51 and $41.68, respectively.

Coke’s weekly chart ended the week positive with the stock above its five-week modified moving average of $40.32 after staying above its 200-week simple moving average of $39.06. Its 12x3x3 weekly slow stochastic reading is 27.38 up from 27.06 on July 2.

This week’s value level is $39.72 with a quarterly pivot of $40.80 and annual risky level of $45.14.

Procter & Gamble closed at $80.95 last week on July 10 above its 50-day simple moving average of $79.71 and below its 200-day simple moving average of $84.65.

Procter’s weekly chart is positive with the stock above its five-week modified moving average of $80.14 and its 200-week simple moving average of $75.87. Its 12x3x3 weekly slow stochastic reading is 32.86 up from 28.05 on July 2.

My monthly value level is $78.79 with an annual pivot of $82.04 and quarterly risky level of $85.11.

Travelers had a close of $101.00 last week on July 10 above its 50-day simple moving average of $100.61 and below its 200-day simple moving average of $102.97.

Travelers’ weekly chart shifts to positive at the end of this week if Friday’s close is above its five-week modified moving average of $100.62 as such a close will pull the stock’s 12x3x3 weekly slow stochastic reading above the oversold reading of 20.00. The current reading is 17.35 up from 13.54 on July 2. The stock is well above its 200-week simple moving average of $81.48.

This week’s value level is $96.52 with a monthly risky level of $104.59.

Wal-Mart closed at $73.12 last week on July 10 below its 50-day and 200-day simple moving averages of $74.71 and $80.45, respectively.

Wal-Mart’s weekly chart may be negative but oversold with the stock below its five-week modified moving average of $74.03, but it moved above its 200-week simple moving average of $7295. Its 12x3x3 weekly slow stochastic reading is 9.36 up from 6.61 on July 2, still below the oversold threshold of 20.00.

This week’s value level is $68.90 with a quarterly risky level of $78.98.

Originally published on Forbes July 13, 2015. Time references in this article pertain to that date.