Berkshire Hathaway - BreakoutHello Traders, welcome to today's analysis of Berkshire Hathaway.
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Explanation of my video analysis:
In 2013 Berkshire stock broke above a key resistance area which was acting as resistance for multple years. This breakout was followed by a +300% pump towards the upside. Last month Berkshire stock then also broke out of a long term triangle formation. If we get a retest back to the previous resistance mentioned in the analysis, I will be looking for long-continuation setups.
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I will only take a trade if all the rules of my strategy are satisfied.
Let me know in the comment section below if you have any questions.
Keep your long term vision.
Berkshire_hathaway
Berkshire Hathaway's (NYSE: BRK.A) Key Stocks Milestone
KEY METRICS
Berkshire Hathaway reported a third-quarter net loss of $12.77 billion.
Apple’s 12% fall over the quarter hurt the company’s $350 billion stock portfolio.
The company's cash hoard rose to a record $157.2 billion, thanks in large part to Treasury holdings.
The company continued to slow the pace of buybacks in the third quarter.
Warren Buffett's Berkshire Hathaway Inc. (BRK.A, BRK.B) reported its third-quarter earnings Saturday, which showed a net loss of $12.77 billion but the company's operating income rose by 40.65% from the year-ago period to $10.76 billion.
Yields Boost Cash Hoard
Berkshire continued to expand its huge cash hoard to a record $157.2 billion, up from $147.4 billion in the second quarter.
The cash pile is largely invested in U.S. Treasury bills, which recently surged to 5%. The company increased its Treasury bill holdings by 36% in the last year, which totaled $126 billion in the third quarter.
Berkshire is likely looking to capitalize on the yields that exceed consumer inflation by more than 1 percentage point as rising interest rates have made investments in Treasuries more attractive.
Price Momentum
BRK.A is trading near the top of its 52-week range and above its 200-day simple moving average.
What does this mean?
Investors have been pushing the share price higher, and the stock still appears to have upward momentum. This is a positive sign for the stock's future value.
Berkshire (BRK.B) -> Trend ContinuationMy name is Philip, I am a German swing-trader with 4+ years of trading experience and I only trade stocks , crypto , options and indices 🖥️
I only focus on the higher timeframes because this allows me to massively capitalize on the major market swings and cycles without getting caught up in the short term noise.
This is how you build real long term wealth!
In today's anaylsis I want to take a look at the bigger picture on Berkshire Hathaway.
At the moment you can see that Berkshire stock is retesing its previous all time high which is roughly at the $350 area and we might see another short term bearish rejection.
However considering that the overall trend is still very bullish I am waiting for a simple break and retest of the current resistance level and then I am looking for a trend continuation.
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I know that this is a quite simple trading approach but over the past 4 years I've realized that simplicity and consistency are much more important than any trading strategy.
Keep the long term vision🫡
Berkshire Hathaway Q1 Earnings Rise on Insurance ReboundWarren Buffett's Berkshire Hathaway reported strong earnings growth in the first quarter of the year, primarily driven by the recovery of the conglomerate's insurance business. Operating earnings, which include profits from Berkshire's wholly-owned businesses, increased by 12.6% year-over-year to $8.065 billion. Insurance underwriting profit surged to $911 million, a sharp increase from $167 million a year ago, while insurance investment income also rose by 68% to $1.969 billion from $1.170 billion. The turnaround in Geico, which saw an underwriting profit of $703 million, was a significant contributor to the overall insurance business success.
On the other hand, the company's railroad business BNSF and energy company posted year-over-year earnings declines. However, other controlled businesses and non-controlled businesses saw slight increases from the same period last year. Berkshire's cash reserves also increased to $130.616 billion from $128 billion in Q4 2022. Additionally, the company repurchased $4.4 billion worth of its own stock, the most since Q1 2021, up from $2.8 billion at the end of last year.
Berkshire's net earnings, which include short-term investment gains, rose to $35.5 billion in Q1 2023, up from $5.6 billion in the same period last year, reflecting a first-quarter comeback in Warren Buffett's equity investments such as Apple. Nonetheless, Buffett cautioned investors not to pay too much attention to quarterly fluctuations in unrealized gains on investments. These results were released ahead of Berkshire's highly anticipated annual shareholders meeting, known as "Woodstock for Capitalists."
Despite lagging behind the S&P 500's 7.7% advance with a 4.9% increase in its Class A shares this year, Berkshire's stock is still less than 3% below its all-time high.
SasanSeifi 💁♂️BRK.B / 1D ⏭ $321 /$330 ❗HI TRADERS ✌The possible scenario of BRK.B is specified. I think that if the dynamic resistance is broken and the price stabilizes, it will grow up to the target range of $321 and $330.
It is important to maintain the $306 and $300 support range.
let's see...
❎ (DYOR)...⚠⚜
WHAT DO YOU THINK ABOUT THIS ANALYSIS? I will be glad to know your idea 🙂✌
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Buying Berkshire's break higher.Berkshire Hathaway B - 30d expiry - We look to Buy a break of 321.11 (stop at 312.39)
Daily signals are mildly bullish.
Short term momentum is bullish.
There is no clear indication that the upward move is coming to an end.
A break of the recent high at 320.50 should result in a further move higher.
This is curremtly an actively traded stock.
Our profit targets will be 342.8 and 348.8
Resistance: 320.50 / 330.00 / 340.00
Support: 314.00 / 305.00 / 297.00
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Buying a Berkshire break higher.BRK.B - 30d expiry - We look to Buy a
break of 283.03 (stop at 274.88)
The primary trend remains bullish.
Bullish divergence can be seen on the weekly chart (the chart makes a lower low while the oscillator makes a higher low), often a signal of exhausted bearish momentum, or at least a correction higher.
282.50 has been pivotal.
A break of 283 is needed to confirm follow through bullish momentum.
Prices have reacted from 260.
Our profit targets will be 304.97 and 309.97
Resistance: 280 / 290 / 300
Support: 270 / 265 / 260
Disclaimer – Saxo Bank Group.
Please be reminded – you alone are responsible for your trading – both gains and losses. There is a very high degree of risk involved in trading. The technical analysis , like any and all indicators, strategies, columns, articles and other features accessible on/though this site (including those from Signal Centre) are for informational purposes only and should not be construed as investment advice by you. Such technical analysis are believed to be obtained from sources believed to be reliable, but not warrant their respective completeness or accuracy, or warrant any results from the use of the information. Your use of the technical analysis , as would also your use of any and all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
Please also be reminded that if despite the above, any of the said technical analysis (or any of the said indicators, strategies, columns, articles and other features accessible on/through this site) is found to be advisory or a recommendation; and not merely informational in nature, the same is in any event provided with the intention of being for general circulation and availability only. As such it is not intended to and does not form part of any offer or recommendation directed at you specifically, or have any regard to the investment objectives, financial situation or needs of yourself or any other specific person. Before committing to a trade or investment therefore, please seek advice from a financial or other professional adviser regarding the suitability of the product for you and (where available) read the relevant product offer/description documents, including the risk disclosures. If you do not wish to seek such financial advice, please still exercise your mind and consider carefully whether the product is suitable for you because you alone remain responsible for your trading – both gains and losses.
Can one go wrong by buying Berkshire dips?BRK.B - Intraday - We look to Buy at 272.02 (stop at 264.98)
Support is located at 272.00 and should stem dips to this area.
Preferred trade is to buy on dips.
Weekly pivot is at 270.73.
Daily pivot is at 271.36.
We look for a temporary move lower.
Our profit targets will be 291.98 and 296.98
Resistance: 283.00 / 290.00 / 295.00
Support: 275.00 / 270.00 / 263.70
Weekly chart for context
Disclaimer – Saxo Bank Group. Please be reminded – you alone are responsible for your trading – both gains and losses.
There is a very high degree of risk involved in trading. The technical analysis , like any and all indicators, strategies, columns, articles and other features accessible on/though this site (including those from Signal Centre) are for informational purposes only and should not be construed as investment advice by you. Such technical analysis are believed to be obtained from sources believed to be reliable, but not warrant their respective completeness or accuracy, or warrant any results from the use of the information. Your use of the technical analysis , as would also your use of any and all mentioned indicators, strategies, columns, articles and all other features, is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness (including suitability) of the information. You should assess the risk of any trade with your financial adviser and make your own independent decision(s) regarding any tradable products which may be the subject matter of the technical analysis or any of the said indicators, strategies, columns, articles and all other features.
Please also be reminded that if despite the above, any of the said technical analysis (or any of the said indicators, strategies, columns, articles and other features accessible on/through this site) is found to be advisory or a recommendation; and not merely informational in nature, the same is in any event provided with the intention of being for general circulation and availability only. As such it is not intended to and does not form part of any offer or recommendation directed at you specifically, or have any regard to the investment objectives, financial situation or needs of yourself or any other specific person. Before committing to a trade or investment therefore, please seek advice from a financial or other professional adviser regarding the suitability of the product for you and (where available) read the relevant product offer/description documents, including the risk disclosures. If you do not wish to seek such financial advice, please still exercise your mind and consider carefully whether the product is suitable for you because you alone remain responsible for your trading – both gains and losses.
Berkshire Hathaway - Potential 20% Upside?Is the most famous investor in the modern history and his international conglomerate able to update historic highs before US economy spirals into recession?
Let's look at it in more detail.
Fundamental indicators:
Revenue and Profits - demonstrated consistent long-term earnings growth over the past 10 years except 2020
Profit margin - not consistent and varies from 10% to 20%, 2021 was with the highest 28%
P/E - 8.4x which is considerably lower than the current S&P500 ratio
Liabilities - no problems with debt
Technical Analysis (Elliott Waves):
Following the correction of March 2020 shares of Berkshire Hathaway have enjoyed similar growth cycle as S&P500 with 120% gains
This bull run was formed by an impulse where waves 1 to 4 have been completed and wave 5 is currently developing
Wave 4 is clearly identifiable as a lengthy and flat Running Correction that lasted between May and November 2021
The final wave of the impulse is quite choppy with lots of crossings which often indicates the development of an Ending Diagonal pattern with a structure of 3-3-3-3-3
If this is the case then waves 1 to 3 have been established and wave 4 is in the process of completion
Once this zigzag-like correction is over we can observe another zigzag to update the historic highs and potential gains for investors of 20%
What do you think about Berkshire Hathaway and its short term prospects?
Also let me know if you would like to see other stocks, indices, Forex or Crypto analysed using Elliott Waves.
Thanks
Berkshire Hathaway - Fall To Continue?Given the latest sell off it looks like the most famous investment conglomerate Berkshire Hathaway is less likely to reach its former highs in the near future.
If so, how deep it may fall?
Fundamental indicators:
Revenue and Profits - demonstrated consistent long-term earnings growth over the past 10 years except 2020
Profit margin - not consistent and varies from 10% to 20%, 2021 was with the highest 28%
P/E - 8.4x which is considerably lower than the current S&P500 ratio
Liabilities - no problems with debt
Technical Analysis (Elliott Waves):
Following the sharp drop since March 2022 it is very likely that impulse wave that was developing since March 2020 has completed with an Ending Diagonal as fifth wave
If so, then we are observing the development of a new global correction which may be quite deep, in the range of $160-$240, and lengthy depending on the market sentiment and materialisation of recession risks
Currently we can see formation of Double Zig-Zag, the first one has completed in wave W. Second zig-zag is in progress with fully formed wave A, wave B to follow to the upside into the region of $325-$340
This correction wave X may last until the next earnings report planned for the beginning of August and if it is not going to reach market expectations the shares may drop further
Although fundamentals are quite good at this stage of the market cycle, Berkshire is doing reshuffle of its portfolio which may impact these fundamental indicators. Let's see what the next report is going to tell us.
What do you think about Berkshire Hathaway and its short term prospects?
Also let me know if you would like to see other stocks, indices, Forex or Crypto analysed using Elliott Waves .
Thanks
PS this is an update to the previous idea where the scenario suggested another run to update the highs
1/9/22 BRK.B Berkshire Hathaway Inc. New ( NYSE:BRK.B )
Sector: Finance (Multi-Line Insurance)
Market Capitalization: 714.396B
Current Price: $319.78
Breakout price: $301.50 (hold above)
Buy Zone (Top/Bottom Range): $305.00-$296.75
Price Target: $329.00-$334.50
Estimated Duration to Target: 100-106d
Contract of Interest: $BRKB 6/17/22 345c
Trade price as of publish date: $6.60/contract
Major Top for BRK.BAbout every decade BRK.B has a major top. Drawing a fib from the Dot.com correction in 1999 the 2.618 called the top of the Great Financial Crisis in 2007, and the 4.414 called the next major top in 2014. Drawing a fib from the GFC the 2 was almost hit during the top in 2014, and 4.414 called $294 as the next decade's cycle top, which has been rejected twice this year. The four major tops are actually spaced apart by about seven years (1999, 2007, 2014, 2021).
The daily chart has formed a triple top over the past six months. Two shooting star candles confirmed that $294 is seemingly insurmountable resistance, the first on May 10 and the second on November 8. Although this may continue to consolidate for months or longer, the upside is very limited, the opportunity cost is high, and an eventual correction can be expected.
BRK.B - STOCKS - 11. OCT. 2021Welcome to our Weekly V2-Trade Setup ( BRK.B ) !
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4 HOUR
Bullish market open..
DAILY
Expecting more buyers shortly..
WEEKLY
Market about to turn in my view.
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STOCK SETUP
BUY BRK.B
ENTRY LEVEL @ 285.25
SL @ 272.86
TP @ Open
Max Risk: 0.5% - 1%!
(Remember to add a few pips to all levels - different Brokers!)
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Have a great week everyone!
ALAN
Berkshire Hathaway's "Big" Correction | Today's Option PlayAttention has been on $BRKB after they gapped down 1.5% and continued to a low of -4.5%. After finding support on a monthly level @ $209, we decided to grab a small yet powerful position in weekly calls...
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The stock currently sitsat $213 which almost looks like a 50% retracement from todays move.
Heavy weekly support @ $208-$209.
Watching the orange trend line as support as well, it holds strong on the weekly timeframe.
Possible long on a break & close above $215.6
Upside targets: $222
Possible Short Entry: $208
Caution needed moving forward.
Options Play Signaled:
BRKB $217.5 9/25 Call @ $24 (up 120%) (these closed @ $215 yesterday)
We grabbed these right before the bounce @ 70% off from yesterday's prices. This shows how powerful buying against implied volatility can be while trading options.
DotcomJack | Picasso of Stonks