Several years ago, Delphi Automotive fell on hard times, a victim of poor management decisions and struggling US automotive companies. The company filed for bankruptcy and has emerged much stronger. In fact, since exiting bankruptcy in 2012, the stock is up over 500%. The stock continues to push forward as the economy gains strength, but there may be even more upside for those who are patient.
The chart is quite constructive. You can clearly see a series of higher highs and higher lows on really good volume. Look at the money flow in the bottom pane; it has only dipped into negative territory once since the summer. This indicates institutional sponsorship. The recent break out of the September highs is holding on good turnover – a positive sign – and the MACD is still on a strong buy signal. I believe the stock will take the path of the orange line.
Delphi Automotive (Nasdaq: DLPH) Video Chart Analysis
Take a deeper dive into the chart action on biotech stock Delphi Nasdaq: DLPH and learn how to read the technicals. Get Bob Lang’s full analysis as he marks up our chart of the week.
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About Delphi Auotomotive
Delphi Automotive PLC is a vehicle components manufacturer and provides electrical and electronic, powertrain, safety and thermal technology solutions to the global automotive and commercial vehicle markets. It is one of the largest vehicle component manufacturers, and its customers include some of the largest automotive original equipment manufacturers. Delphi Automotive PLC is based in Troy, Michigan.
