Halliburton Company (HAL)

[Timothy Smith]

Halliburton remains one of my top picks for 2013 with the tailwinds in the North American market and the continued success internationally.

Management's investments in technology over the past few years are beginning to payoff for the company and with the ability to scale back on capex spending in 2013 free cash flow should be strong over the next few years.

However it could be worth it to wait for a small pullback before buying into this stock. The chart shows a stock that was consolidating and has now broken out to the upside. There is also a strong uptrend that has been in place since mid November and resistance in the $38 range that has now been broken.

The time to enter now could be if the stock pulls back to the uptrend line and the former resistance line and holds at that level. This could provide the support the stock needs to make the move above $40 per share where I do not see any resistance until the $50 level.