Bullish Recommendation: (NYSE:PIR) Pier 1 Imports, Inc.

Here is an interesting stock chart I created. 

This stock is probably one of the best to own in your portfolio. The stock chart looks very healthy overall. Since 2009 it has maintained an upward primary trend, without any significant fluctuation; a remarkable performance. PIR maintains a steady pattern of higher highs and higher lows. Interesting enough that PIR ranks among analysts’ top picks for 2013 due to its strong buyback activity; also has a decent dividend yield of 0.92%, which is not huge, but considering the performance, is alright. Now let’s talk about the chart. I placed a Raff Regression Channel, to better identify the trend and its reliability. The price is not even close to the lower extension, so hopefully there will not be a significant through respecting the lower extension; if it does, we should expect a trend reversal. I would buy some shares of PIR when price crosses the center regression from below (vice-versa when shorting). Other buy signals that should be considered are the SMA crossovers, which indeed have worked pretty well. In the meantime watch out for the right-angled and ascending broadening formation pattern I included (orange dashed lines), and if it takes out the resistance on high volume, this should be a strong buy.

A friend from the Scottrade Community indicated as well that "PIR is a slow steady climber, and the volume is acceptable, though just barely above 1 million. I think it is heading for a Double Top and should be done with the current climb when it hits the $25.00 area"(Rhode)

You can see the near Double Top in a longer time frame. So the fact is that you still can make a gain of more than 14% before it reaches the pattern.

Alexander Schachter