The equity is breaking out of a falling wedge corrective pattern
Every day for the next week, we're going to highlight one of Schaeffer's top seven picks for 2022. Yesterday we covered EVgo (EVGO), and today we look at a stock integral to the home appliance industry. To access the entirety of the 2022 report, click here.
Despite the shares spending a majority of 2021 in correction mode and Whirlpool Corporation (NYSE:WHR) having retreated more than 20% from its early May peak, the stock still sports a 24% year-to-date lead.
Plus, the equity is breaking out of a falling wedge corrective pattern, setting it up for a potentially solid performance in 2022, as shares appear ready for their next leg higher. Even further, the stock’s wedge pattern found support at the round-number $200 level and the rising 320-day moving average.
Short interest increased more than 50% in June, and now represents 10% of the stock’s available float. At Whirlpool stock’s average pace of daily trading, it would take 10 days for short sellers to buy back their bearish bets.
Analysts are leaning pessimistic, leaving ample room for upgrades moving forward. This is per the four of five covering brokerages that sport a tepid "hold" or worse rating on WHR.
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