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SHW — Oversold Bullish Reversal
Status: Invalidated
Scanner score: 20.0/100
Why this was flagged
SHW was identified as a bullish technical setup based on the Oversold Bullish Reversal pattern. The scanner found a score of 20.0/100 using trend alignment, momentum, price action, volume, and risk-management rules. Monitor update: Latest stored daily low of 301.1000 reached or fell below stop loss 315.1552.
Trade framework
Position-sizing example
These examples use the distance between the reference entry and stop-loss. They do not account for commissions, slippage, taxes, overnight gaps, or your personal account size.
Exit plan
- Stop-loss: Exit if the stop-loss is reached. Do not move the stop farther away to avoid taking the planned loss.
- Target 1: Consider taking partial profit when Target 1 is reached and reducing risk on the remaining shares.
- Target 2 or trailing exit: Consider closing the remaining position at Target 2, or use a disciplined trailing stop only if the trend remains strong.
- Time exit: Reassess or close a trade that fails to progress within the suggested holding window.
Technical chart
Daily closing price with moving averages and planned trade levels. This chart is a screening aid, not a guarantee of future results.
$1,000 educational outcome examples
These examples use a $1,000 position and fractional shares at the midpoint of the entry zone. Actual results can differ because of market gaps, fills, spreads, commissions, taxes, slippage, and changing conditions.
Easy explanation for new investors
The scanner found Sherwin-Williams Company (SHW) using a pattern called an Oversold Bullish Reversal. This means the price dropped quickly, and the Relative Strength Index (RSI) reached 20.45. RSI is a tool that measures if a stock has been sold too much. When the RSI is very low, it can sometimes mean the selling might stop soon. The scanner also saw a bullish candle, which is a type of chart pattern that shows buyers are starting to step in.
What the price plan means
The entry zone was between 310.54 and 312.88. This is the price range where the setup was identified. There were two target prices set at 301.31 and 296.69. These are levels where the price might stop moving. A stop loss was also set at 315.15. A stop loss is a price level used to exit a trade if the price moves in the wrong direction.
What could make the idea fail
This specific setup is now marked as invalidated. This means the plan did not work as expected. The scanner noted that the latest daily low reached or fell below the stop loss level of 315.15. When a stock hits this price, the technical pattern is no longer considered valid.
Important reminder
Technical patterns are based on math and past price movements. They do not predict the future.
Recent news context
This automated review is separate from the technical score. It summarizes recent related articles and does not predict price movement.
Overall context: Caution (High confidence)
Sherwin-Williams (SHW) is approaching Q2 earnings, with analysts projecting a 5.3% year-over-year increase in earnings per share to $3.56 and a 4.8% revenue rise to $6.62 billion. The company recently maintained its quarterly dividend at $0.80 per share. However, the technical setup shows an 'Oversold Bullish Reversal' with a low technical score of 20. Additionally, the specialty chemicals sector is experiencing volatility, evidenced by a broad selloff in peer International Flavors & Fragrances.
Potentially supportive context
- Projected Q2 earnings per share increase of 5.3% year-over-year to $3.56.
- Expected revenue growth of 4.8% to $6.62 billion for the second quarter.
- Maintained quarterly dividend of $0.80 per common share.
Risks and caution items
- Broad selloff observed within the specialty chemicals sector.
- Low technical score of 20 despite an oversold bullish reversal setup.
- Potential macroeconomic headwinds or demand concerns affecting the chemical sector.
Latest reviewed article: Jul 23, 2026 4:09 pm
Recent related articles
International Flavors & Fragrances Inc. experienced a 5.3% drop in its stock price, closing at $73.12, as part of a broad selloff across the specialty chemicals sector. Despite the absence of company-specific news, IFF was the worst performer among its peers, suggesting…
Sherwin-Williams (SHW) is projected to report Q2 earnings of $3.56 per share, a 5.3% increase year-over-year, with revenues expected to rise by 4.8% to $6.62 billion. Analysts provide detailed insights into key metrics, including net sales for Paint Stores Group, Consumer Brands…
Sherwin-Williams (SHW) is projected to report Q2 earnings of $3.56 per share, a 5.3% increase year-over-year, with revenues estimated at $6.62 billion, up 4.8%. Analysts have maintained their EPS estimates, suggesting their predictions remain stable. Key metrics to watch include net sales…
Impala Asset Management LLC has acquired a new position in PPG Industries, Inc. (NYSE:PPG) during the first quarter, purchasing 82,000 shares valued at approximately $8.76 million, making it their 7th largest holding. Other institutional investors also adjusted their stakes, with State Street…
Dimensional Fund Advisors LP increased its stake in PPG Industries by 2.0% in Q1 2026, bringing its total holdings to 2.93 million shares valued at $312.6 million. Wall Street analysts maintain a "Hold" rating for PPG with an average price target of…
Sherwin-Williams Co (SHW.N) has announced a dividend declaration of $0.80 per common share. This brief statement, sourced from Reuters, provides key financial information for investors.
The Sherwin-Williams Company has maintained its quarterly dividend at $0.80 per share. This dividend will be payable on September 11 to shareholders who are on record as of August 21. The announcement was made on July 22, 2026.
The Sherwin-Williams Company (NYSE:SHW) has announced a quarterly dividend of $0.80 per common share. This dividend is scheduled to be paid on September 11, 2026, to shareholders who are on record as of August 21, 2026. The company's Board of Directors approved…
Important: Some returned articles may describe competitors, industry conditions, or related companies. Open the source before relying on an article.
Scanner confirmations
- RSI is near oversold territory with bullish candle confirmation.