The Western Union stock (NYSE: WU) has been spotted slowly crawling back up from the lows of December. 2018 was not the best year for WU performance-wise. Even though the stock did start off the year with a sharp spike higher, it was downhill from there onwards. This year has started off with a rise as well, but with a more gradual one, which may attract investor attention. For now, we will remain somewhat positive over the stock’s near-term outlook but wait for a confirmation break first before getting comfortable with the upside.
A strong and confident push through the 18.70 barrier, marked near the highs of December 13th and February 5th and 7th, could attract even more attention from the buyers. Such a move would confirm a new yearly high and could open the door to the 18.99 resistance zone, which is the high of November 28th. If the price acceleration doesn’t stop there, a further push north may lead the stock to the 19.16 area, which marks the high of November 14th.
Looking at our oscillators, the RSI and the MACD, both seem to be supporting the above-discussed idea. The RSI is above 50 and points higher. The MACD is in the positive territory, points to the upside and is now above its trigger line.
Alternatively, if WU reverses back down and drops below the 18.35 hurdle, marked by the high of March 22nd, this might temporarily spook investors and could cause the stock to slide lower. We could then target the 18.13 mark, as the next potential obstacle on the way down, a break of which might test a short-term tentative upside support line drawn from the low of December 26th. Also, around there, the share price might hit the 18.00 support zone, which held the price from falling on Monday.
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