Public Service Enterprise Group (PEG) is New Jersey’s largest and oldest investor-owned utility company. It services over 1.8 million gas customers and 2.2 million electric customers across areas that include New Jersey’s six largest cities. PEG operates in regulated utility business, and utility companies enjoy key competitive advantages like high entry and regulatory barriers. Therefore, the future growth trajectory for PEG can be expected to be very steady and predictable.

The long-term monthly chart for PEG shows a consistent uptrend since 2013. The price has ranged between a clear channel for the most part except in early 2020 when the price fell by close to 45% and broke the bottom of this channel. Since then, the price has bounced back up and found support at the bottom trend line. There was a mini-retracement towards the end of 2020, but the price bounced back again in March 2021. A long position can be initiated with a target of $62. A minimum stop loss can be placed below the bottom trend line, around $52.

Position entered into our long-term tracking portfolio today. The entry point is at $57.44 and stop-loss is placed at $46.18, which is 20% below the entry point. The short-term to medium take profit at the top of the trend is set at $69, giving a profit of 20%.