Berkshire’s Textbook Breakout

Posted by

Berkshire Hathaway B shares…

We have a breakout, a low-volume re-test, and then follow-through.

That 300 level, which had served as obvious resistance above all year should now be seen as a possible level of reliable support. The buyers came in recently upon that re-test.

For many reasons, Berkshire Hathaway seems to be the right stock for the current market / economic environment – exposure to energy and rising demand for commodities (via the massive utility subsidiary and Burlington railroad), exposure to financial services (mostly insurance, some bank holdings and American Express) as well as being the largest shareholder of Apple (happy $3 trillion!) and a shit-ton of cash on the balance sheet.

After having sat out most of the rally of 2020, 2021, Berkshire is now screaming higher. Right stock, right time, and a breakout a long time in the making.

(disclosure: I am a long-term shareholder in Berkshire Hathaway. Nothing on this site is meant as advice. Please see Terms & Conditions below.)

 

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Wealthcast Media, an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers

Please see disclosures here.

HowIInvestMyMoney