L3HARRIS TECHNOLOGIES INC (NYSE:LHX) - A Strong Technical Setup in Aerospace & Defense

L3HARRIS TECHNOLOGIES INC (NYSE:LHX) has been identified as a potential breakout candidate by our technical screening process. The stock currently holds a strong technical rating and an excellent setup score, suggesting it may be well-positioned for further upside. Below, we examine the key factors contributing to this assessment.

Technical Strength

• Technical Rating of 8: LHX scores well above average in technical health, supported by positive trends in both short-term and long-term timeframes.
• Strong Trends: The stock is in an uptrend, trading above key moving averages (20-day, 50-day, 100-day, and 200-day), all of which are rising.
• Relative Performance: While LHX has outperformed 72% of stocks over the past year, it has shown recent momentum with a 24% gain over the last three months.
• Support Levels: Multiple support zones exist below the current price, including a key area between $245.75 and $248.74, providing a cushion against downside moves.

Setup Quality

• Setup Rating of 10: The highest possible score indicates a well-defined consolidation pattern, reducing volatility and improving the likelihood of a breakout.
• Recent Price Action: LHX has been trading in a range between $237.56 and $257.79 over the past month, with the current price near the middle, suggesting a potential entry point.
• Institutional Interest: Large players have shown buying interest recently, and a "Pocket Pivot" signal—a bullish volume pattern—has been detected.
• Breakout Potential: Resistance sits around $260.60-$264.23. A move above this zone could signal further upside, while support near $246.97 offers a logical stop-loss level.

For a deeper look at the technicals, review the full technical report for LHX.

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Disclaimer

This is not investment advice. The observations here are based on technical analysis at the time of writing, and market conditions can change rapidly. Always conduct your own research before making trading decisions.