ECL is back in the "saddle"! ECL had been in a long-term uptrend. It took a breather in the second half of '23. But resumed with aggression (to end the year up 35%)! The recent gap up pushed the price perfectly back into the uptrend channel and the bulls have taken recent control pushing above the gap-anchored VWAP. The daily TTM squeeze that just fired caused the MONTHLY squeeze to fire long as well. So, I think this one might be off to the races! Go Long!!
ECL trade ideas
This sector looks incredibly weak!XLB materials sector saw a nasty down day today despite the S&p500 closing positive.
Clear relative weakness is being observed.
One of the leading stocks in XLB : DD (Dupont) collapsed by 14% after issuing weak forward guidance ahead of their earnings.
If they're expecting softer demand from China you can almost count on contagion through the sector.
ECOLAB Long Play - Multifaceted asset- Equipped for gainEcolab looking like a super stock right now, not only do they dominate the commercial cleaning equipment/chemicals game, they are also uniquely poised to excel during times of drought due to their production of water filters / desalination tech.
Overall I can see ECOlab eclipsing $185 by the years end. Manage risk accordingly
short ECL @ 180.50short ECL
horrible company culture, rip off to consumer . reminds me of blockbuster, when they would make more revenue on rental late fees, instead of the actual rental. look where they ended up.
consumers will catch on to the fraud. they claim to be in the business of leasing cleaning equipment, but they are in the business of selling their own chemicals when maintaining the equipment.
trading at all time highs, calling the top now and riding the wave back down, to the beginning of year lows.
$ECL - Materials 3/10ECL is a top pick but these last few weeks have been UGLY. However, inflation pressures are expected to subside somewhat over next couple months and this could be a benefactor while everyone else is scared to buy it. Stop between 180 and 188 would reduce risk significantly. 3 gaps above which will be magnets to get filled. I would probably wait until earnings come out with companies dropping 20-40% off ERs. It reports in 13 days. Also many not be a bad options straddle a few months out. Lots of fun to be seen out of this one.