United Rentals (URI) remains bullish

We have some interest in United Rentals (URI) given the stock's pullback from mid October.

URI remains bullish. The stock has defended its rising 26- and 40-week moving averages, which currently sit near 892 and 829, respectively, as well as the 50% retracement of the April-October 2025 rally at 773.69, on the late November probe down to 769.88. These levels remain key supports for URI.

After a perfectly normal 50% retracement, URI is positioned for an extension higher, especially while above the rising 26- and 40-week moving averages. The initial target is 1021-1076 (mid October high and 61.8% extension of the April-October rally projected from the late November low) and potentially higher toward 1265 (100% extension).

URI has improved relative to the S&P 500 on a move back above the relative price weekly moving averages.

Chart 1: United Rentals (URI) (top) and relative to the S&P 500 (bottom)