GNW psar bull signal

The psar bull signal on Genworth Financial Inc. (GNW) holds some promise, but also a bushel basket of disappointment.

The stock was on an uptrend from early January to late February, when it softly moderated into the present sideways trend.

Despite a high adx of 35, the rise looks weak on the chart, with some psar whippiness. Moreover, the macd is in bear mode, although it is rising, shallowly, toward the zero line.

	trend	adx	psar	pps	macd	macd trend	sto	sto trend
GNW $16.38

It's in the area of price levels that the promise and disappointment lie.


The longer-term chart shows GNW tracing out a coffee-cup bottom, with the present sideways trend as a tiny handle.

If GNW can break out above, say, $19, then it has a very good shot at the $25 level. But there's a lot of congresion between the present $16.38 and $19.

You are here:

• Reversal
• $28.21, +72.2%
• $24, +46.5%
• $21.10, +28.8%
• $18.19, +11.1%
• $17.35, +5.9%
• $16.77, +2.4%
• Now $16.38
• Reversal
• $15.30, -6.6%
• $13.07, -20.2%
• $11.35, -30.7%

Lots of potential on the downside, too, yes? I would want to see a brakout past $16.77 before opening a directional bull position on this stock.

Earnings are May 5, which is a bit too close to April expiration for my comfort. It's a borderline call in that regard.

Abbreviations:
psar - Parabolic Stop and Reverse
adx - Average Directional Index
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic

About the glance: The colors indicate the state of each signal.

• trend: green for up, red for down, yellow for sideways
• adx: green for above 30-up, red for 20-down, yellow for in the middle. Red is most prone to whipsaws
• psar, pps, macd: green for bull mode, red for bear
• sto: green for overbought, red for oversold, yellow for the neutral zone.

This signal will be followed in the daily Watchlist, which is posted beginning around 2:45 p.m. Eastern. Look for it at www.timbovee.com.