Indications Suggest NYSE:CL Could Be on the Verge of a Breakout.

Our stock screener has spotted COLGATE-PALMOLIVE CO (NYSE:CL) as a possible breakout candidate. A technical breakout setup pattern occurs when the stock is consolidating after a nice uptrend. Whether the actual breakout occurs remains to be seen of course, but it may be interesting to keep an eye on NYSE:CL.

Deciphering the Technical Picture of NYSE:CL

ChartMill assigns a Technical Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple technical indicators and properties.

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

• The long and short term trends are both positive. This is looking good!
• CL is currently trading in the upper part of its 52 week range. The S&P500 Index however is currently trading near a new high, so CL is lagging the market slightly.
• When comparing the performance of all stocks over the past year, CL turns out to be only a medium performer in the overall market: it outperformed 44% of all stocks.
• In the last month CL has a been trading in a tight range between 75.50 and 79.44.

Our latest full technical report of CL contains the most current technical analsysis.

How do we evaluate the setup for NYSE:CL?

Alongside the Technical Rating, ChartMill assigns a Setup Rating to evaluate the consolidation level of a stock. This rating, ranging from 0 to 10, is updated daily and considers various short-term technical indicators. The current setup rating for NYSE:CL is 8:

CL has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a support zone below the current price at 78.00, a Stop Loss order could be placed below this zone.

Trading setups like NYSE:CL

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.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.