CONSOLIDATED EDISON INC (NYSE:ED) is setting up nicely for a breakout.

Our stockscreener has identified a possible breakout setup on CONSOLIDATED EDISON INC (NYSE:ED). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NYSE:ED for potential opportunities.

Deciphering the Technical Picture of ED

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 7 out of 10 to ED. This is due to a consistent overall performance, although we see some doubts in the very recent evolution. In the medium time frame things are still looking good.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• ED is one of the better performing stocks in the Multi-Utilities industry, it outperforms 75% of 25 stocks in the same industry.
• ED is currently trading in the upper part of its 52 week range. The market is still in the middle of its 52 week range, so ED slightly outperforms the market at the moment.
• When comparing the yearly performance of all stocks, we notice that ED is one of the better performing stocks in the market, outperforming 85% of all stocks. However, this relatively good performance is mostly due to a recent big move.

Check the latest full technical report of ED for a complete technical analysis.

Why is ED a setup?

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For ED this score is currently 8:

Besides having an excellent technical rating, ED also presents a decent setup pattern. Prices have been consolidating lately. There is a support zone below the current price at 107.67, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for ED in the last couple of days, which is a good sign. Another positive sign is the recent Pocket Pivot signal.

Trading breakout setups.

To potentially initiate a trade, it is common practice to wait for the stock to break out of the consolidation zone. This breakout signifies a potential upward movement, and traders may enter the stock at that point. Conversely, if the stock falls back below the consolidation zone, it may be sold at a loss.

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

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.