FLR Fluor Monthly Chart; H&S Failure

Fluor stock is a piece of garbage. Oh what a fall from grace considering that it was on the Forbes List of top companies for many years. From 75 to 16 is a -80% crash over the 5-year period. From 57 to 16 is a -72% crash over the last year.

The H&S pattern shows a head at 74-ish and neck line at 37-ish which is a target of zero if the 37 fails which it obviously did. When the projection numbers point to zero or very low digits you have to take it with a grain of salt since it means bankruptcy. FLR dropped to 16 and has recovered to 20 trying to stabilize.

The green lines indicate positive divergence which is bouncing price this month, however, the MACD line is weak and bleak wanting to see another lower low in price ahead on the monthly basis. FLR is a turd floating in the toilet bowl.

The main reason the chart is posted is because of its importance in the engineering and construction industry. These behemoth companies employ big-time engineers, project managers, computer-drafting technicians, many skilled positions requiring years of education. In other words, these folks do not come cheap. You can always tell a recession is in full swing and starting to bite hard when you hear of large layoffs from engineering and construction companies.

Fluor announced last week plans to cut expenses. More details will be released this week. They likely cut all the low-hanging fruit already and there is only one other choice to reduce expenses; start axing workers. If you work at Fluor, keep your head low since the manager will be walking up and down the halls with a scythe ready to lop it off.

Keep an eye on all the engineering and construction companies and associated industrial plays such as JEC, KBR, ACM, MDR, FSTR, MTRX, PWR, HAL, EME, MTZ, DY and CMI to name a few. Keep an eye on the industrial and energy sectors, XLI and XLE, respectively. If you start to see layoffs increase at the engineering companies, it's over for the economy and recession is here. MDR has crashed -86% from 11.0 to 1.5 over the last 2 months. Good night Irene, Irene goodnight. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.