Monday, June 11, 2012

Easy Rider?

Lately I've been using Harley Davidson (HOG) as an indicator of strength or weakness in the small cap stocks. On a fundamental basis it seems that demographics must be working against Harleys as well as against the economy of the U.S.
How many baby boomers are left to buy a motorcycle? How many will want to buy one who have not bought on already?
China may be the next market. I do not know what stage that market is.
On a technical basis though the stock has been showing weakness similar to the markets in general.
A possible "head and shoulders" pattern is developing in HOG.
The chart:
Control risk!
gh

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All comments are appreciated as it will give me a chance to adjust my content to any real people who may be out there. Thank you. gh