Progressive Corp

On November 2, we mentioned that PGR was trading below the resistance of an influential trendline and that it looked like the downtrend would continue until the bulls could send the price above the dotted barrier. As you can see from the chart below, the resistance of the trendline was too strong for the bulls to overcome in October, but the recent close above suggests that the downtrend is shifting.

We've also added the MACD indicator, which has recently crossed above the zero line. This bullish crossover reveals to traders that the short-term moving average component of the MACD (12 EMA) is now trading above the long-term average (26 EMA) - a sign that will be used by the bulls as confirmation of the expected shift in momentum.