Plug in to American Electric Power for This Surge Higher

The Utility Sector has been under pressure over the past six months. American Electric Power (AEP) peaked in early July and did not bottom until early December. But now the correction looks to be over, and AEP is ready to move higher.

In this twelve-month daily bar chart of Action Alerts PLUS holding AEP, below, we can see both the price erosion in the back half of 2016 and the subsequent bounce and consolidation. Prices broke below the rising, 50-day moving average line in August, but closed back above the flat, 50-day average in December. Now the slope of the 50-day average line has turned positive. AEP is still below the declining, 200-day average line, but it will only take a rally to $65 to break above that long-term, smoothed trendline....233 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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