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In early March three of Caterpillars facilities in Illinois were searched by US law enforcement officials in an Internal Revenue Service investigation in regard to profits generated by Caterpillar SARL, a Swiss parts unit. In relation with the probe of Caterpillar Incs (CAT) import and export practices, the manufacturer was reported to have sought the expertise of William Barr, an ex-US Attorney General.

Caterpillar shares closed lower on Thursday, while marking their fourth drop in the past seven trading sessions. The stock went down 0.55% ($0.51) to $92.85, after touching an intraday high at $94.09, or a price level not seen since March 8th ($95.48). In the week ended on March 12th the shares of the heavy machinery manufacturer lost 2.95% of their market value compared to a week ago, which marked a third consecutive period of decline. The stock has extended its slump to 3.94% so far during the current month, following a 1.05% surge in February. The latter has been a second consecutive monthly gain, but yet, the smallest one since September 2013. For the entire past year, Caterpillar shares gained 36.46%.

The manufacturer was to pay $2 billion in taxes and fines in relation to profits generated by Caterpillar SARL, Reuters reported.

Caterpillars Swiss unit was also named in a Senate committee report from 2014. The document reached the conclusion that Caterpillar had shifted billions in profits abroad, while also deferring or avoiding taxes for $2.4 billion.

William Barr was the 77th attorney general with a mandate during George H.W. Bushs presidency. He has also been an Executive Vice President and General Counsel of Verizon Communications Inc for more than 14 years.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Caterpillar stock are presented as follows:

R1 – $92.98
R2 – $93.12
R3 (Range Resistance – Sell) – $93.25
R4 (Long Breakout) – $93.65
R5 (Breakout Target 1) – $94.11
R6 (Breakout Target 2) – $94.30

S1 – $92.72
S2 – $92.58
S3 (Range Support – Buy) – $92.45
S4 (Short Breakout) – $92.05
S5 (Breakout Target 1) – $91.59
S6 (Breakout Target 2) – $91.40

By using the traditional method of calculation, the weekly levels of importance for Caterpillar Inc (CAT) are presented as follows:

Central Pivot Point – $92.98
R1 – $95.56
R2 – $98.80
R3 – $101.38
R4 – $103.95

S1 – $89.74
S2 – $87.16
S3 – $83.92
S4 – $80.67

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