In late-August my analysis of firearms makers RGR and SWHC led me to believe that their uptrends were growing long in the tooth. At the very least, there were better places to look for longs. As you can see on the updated chart below, though, both stocks have recovered impressively from last month’s weakness and may very well be poised to run into the holidays (as many year-long winners frequently do in bull runs).
One Response to Durable Artillery
I remember 4 years ago a similar run up over the summer ahead of the election forecast that Obama would win. People were buying up guns as fast as they could produce them. Could this be another Obama generated fear rally? If he gets elected and starts his war on gun owners in earnest these stocks could get hit hard. I’m inclined to avoid them at this point.