AT&T's Price Gap Changes the Strategy

We reviewed the charts of AT&T Inc. (T) last Tuesday, and concluded that "Momentum has slowed and sellers are not being aggressive, but is that enough to have the $35.66-$35.31 support hold? Tuesday's new low close tells us to go slow despite the attractive yield." With hindsight, we can see that support did hold.

T gaped higher this Wednesday (yesterday) on expanded volume and closed above the declining 50-day moving average line. Not bad! Today's question is whether this strength is sustainable and should we look to be a buyer? Let's look at the updated charts and indicators....283 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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