AT&T (T) Forming a Bottom
09/04/2009 12:01 am EST
AT&T (T), the giant telecommunications services provider, has fallen from a high of almost $43 to less than $22 in a little over a year.
This blue chip household name is forming a bottom, and now may be the time to add it as a longer-term quality holding.
Buy signals from our internal indicator, the Collins-Bollinger Reversal (CBR), and an undervalued Moving Average Convergence/Divergence (MACD) are both favorable signs.
But in order for the stock to get moving, it must break through the quintuple top at around $27.
As a bonus, while waiting for the breakout, investors will receive a dividend yield of almost 6.5%.
By Sam Collins of OptionsZone.com