Bearish Moving Average Cross by Tenaris (TS)

Published on Mon, 02/04/2013 - 12:10
By Robert Cotter in Moving average crossovers, TS, moving crosses, nyse:ts, tenaris

Tenaris (NYSE:TS) shares have crossed bearishly below their 10-day moving average of $42.11 on a volume of 631K shares. This may provide short-term investors a chance for a short position, as such a crossover often suggests lower prices in the near term.

Over the past year, Tenaris has traded in a range of $29.79 to $44.88 and is now at $41.05, 38% above that low. The 200-day and 50-day moving averages have moved 0.43% higher and 1.28% higher over the past week, respectively.

Potential upside of 11.3% exists for Tenaris, based on a current level of $41.05 and analysts' average consensus price target of $45.67. The stock should find initial support at its 50-day moving average (MA) of $40.77 and further support at its 200-day MA of $38.40.

Tenaris S.A. manufactures seamless steel pipe products on a global basis. The Company also provides pipe handling, stocking, and distribution services to the oil and gas, energy, and mechanical industries. In addition, Tenaris supplies welded steel pipes for gas pipelines in South America.

By Robert Cotter
rcotter@fnno.com

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