Olin is on an 8 day downtrend A slight improvement can be seen from yesterday's session: after dropping down to $59.44, the chemical products and ammunition manufacturer recovers some losses and is currently trading at $60.2.
Uncertainty around Olin is reflected by published market data as United States Crude Oil Inventories beat the 2 million projections, with 7.65 million. United States GDP published yesterday at 13:30 UTC came out at 2.7, falling short of the 2.9 projections and continuing its decline from the previous 3.2 figure. Highly important Initial Jobless Claims data from United States beat analyst expectations of 200,000 with a reading of 192,000.
Olin Corporation made an initial breakout above its 3 day Simple Moving Average at $60.63, a potential indicator of a newly emerging bullish phase. Olin's upper Bollinger Band® is at $64.48 and the lower is $59.43. Olin bounced after reaching the $59.51 support zone, climbing 69 cents above it.
With market volatility ebbing, the current technical outlook indicates Olin will break higher above its recent ranges in the immediate future.
Meanwhile, mixed performances were seen by other materials stocks as BHP Billiton slips 2.1% yesterday to close at $64.18. Rio Tinto lost 1.87% yesterday and closed at $71.49.
Data to be released today might clear up some of the market fog as United States Core PCE Price Index (MoM) (Jan) scheduled to come out today at 13:30 UTC. United States New Home Sales (Jan) will be released today at 15:00 UTC.
The stock has been trending positively for about 2 months. The chemicals and ammo distributor has gained 14.96% since its lowest print of $42.21 earlier this year.