Xylem Inc. (XYL)

It's working itself into a top. He needs to see this rise above the mid -$70s. A hold or sell.

The company focuses on water transportation, trust, and treatment. Utilities are having to refresh their water-related infrastructure and emerging markets are just building it. This has driven up the price of Xylem. They are also developing metering products, measurements to help utilities minimize water loss in their systems. She would not buy at the current price. She expects a pullback. The company has made presentations at conferences and its price will probably drop back to $72 or $75.

This water technology company is involved with pumps and valves, which is directly impacted with tariffs from the US. He likes the company and thinks it will benefit in helping with solving global warming water issues. He believes this space is getting close to the end of its cycle, so he is watching the technicals very closely.

It's moved straight up in the past 18 months from $50-80 and now it's in the mid-60s. So there's little safety net on the downside. There is some support in the low-60s. Be careful. It may or may not hold at current levels.

This water treatment company has had a good correction and now looks like a good buy. This is a quality stock and he has been waiting to buy it – he just wants to understand why there has been a pullback. A quality company and a great long term hold. It is an international play and many silos of business. The 200 month moving average is around $50 and should act as good support.