Daeubner: RHI - Momentum and Inertia make this stock a strong buy

The daily chart of RHI shows an interesting momentum play. The stock is in a clear and undisputed uptrend. Just a short 3 weeks ago, RHI successfully tested the support line of the uptrend but failed to gain significant momentum since then. In fact, the momentum has clearly eroded and the stock barely moved in the last couple of weeks. Nonetheless, the overall trend is intact and the stock is still benefiting from its upward inertia. RHI is a strong buy in the medium term. Momentum will most likely soon pick up and the upward potential is quite high. Stop-losses can be placed around the € 20 level. Remember the old stock market adage: The trend is your friend - until it ends.

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