Technical Signals Point to a Possible Breakout for ALBERTSONS COS INC - CLASS A (NYSE:ACI).

A possible breakout setup was detected on ALBERTSONS COS INC - CLASS A (NYSE:ACI) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:ACI.

Technical analysis of ACI

Every day ChartMill assigns a Technical Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple technical indicators and properties.

We assign a technical rating of 8 out of 10 to ACI. Although ACI is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• Both the short term and long term trends are positive. This is a very positive sign.
• ACI is currently making a new 52 week high. This is a strong signal, certainly because the S&P500 Index is not trading near new highs.
• In the last month ACI has a been trading in the 19.59 - 22.05 range, which is quite wide. It is currently trading near the high of this range.
• When comparing the yearly performance of all stocks, we notice that ACI is one of the better performing stocks in the market, outperforming 76% of all stocks. However, this overall good ranking is mostly due to the recent strong move.
• ACI is part of the Consumer Staples Distribution & Retail industry. There are 39 other stocks in this industry, ACI did better than 50% of them.

For an up to date full technical analysis you can check the technical report of ACI

How do we evaluate the setup for ACI?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, ACI has a 7 as its setup rating, indicating its current consolidation status.

ACI has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period.

Trading setups like ACI

One way to play this would be to wait for the actual breakout to happen and buy when the stock breaks out above the current consolidation zone. A possible place for a stop loss would be below this zone.

Please note that this article should not be construed as trading advice. The information provided is solely based on automated technical analysis and serves to highlight technical observations. It is important to conduct your own analysis and make trading decisions based on your own judgment and responsibility.

Our Breakout screener lists more breakout setups and is updated daily.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.