CARR has pulled back to historical support on the charts
Climate and energy solutions stock Carrier Global Corporation (NYSE:CARR) has taken a breather since its June 25 nearly 52-week high of $76.76, last seen flat at $62.73 today. The underlying $62.50 level has been a key level of support and resistance, however, while the shares are also nearing a trendline with historically bullish implications.
According to Schaeffer's Senior Quantitative Analyst Rocky White, CARR is trading within 0.75 times the 200-day moving averages' 20-day average true range (ATR), after spending at least 80% of the previous two weeks and 80% of the prior 42 trading sessions above that trendline. This setup has appeared six other times over the last decade, after which the stock was higher one month later 100% of the time, averaging an 8.1% gain.
An unwinding of pessimism amongst options traders could provide tailwinds as well. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), Carrier Global stock's 10-day put/call volume ratio of 1.18 sits higher than 85% of readings from the past year.