Potash Corp. (CA): buy the breakout


Company profile: Potash Corporation of Saskatchewan Inc. produces potash, phosphate, and nitrogen to the agricultural and industrial industries worldwide. The Company conducts operations in Canada, Chile, the United States, Brazil, and Trinidad.

Weekly outlook: The two most likely trend lines coincide nicely with the recent peak and MA200 (around ~42). Buyers must overcome this area in order to trigger a new uptrend towards 47.25 and higher. The odds fr such a rally are decent: bullish divergence has been visible for some time and from an intermarket viewpoint the Chemicals sector is supportive. Nevertheless, long-entries must be postponed until the trigger is cleared.

  • Primary trend: neutral, basing
  • Outlook: positive > 42.35
  • Support: 38.17 / 37.02
  • Resistance: 47.85 / 59.05 / 63.20+
  • Expected dividend date: 9 April 2013
  • Expected dividend payment: 0.209 CAD

Weekly chart Potash Corporation of Saskatchewan (Canada)