If the “double top” on Vale’s (VALE) chart foreshadowed the stock’s drop, then investors may equally anticipate when the stock will recover. Unfortunately, charts normally give a picture of the past and do not predict where stocks may head next.
Vale faces a slew of fundamental issues ranging from macroeconomic headwinds to troubling raw materials. So, after the stock backed down sharply from $13.50 and traded in the $12 range, should investors buy Vale stock today?
There are three reasons to consider Vale after the dip.
1. Dividend Yield
Vale has a dividend