EDWARDS LIFESCIENCES CORP (NYSE:EW) - A Technical Breakout Candidate Worth Watching

EDWARDS LIFESCIENCES CORP (NYSE:EW) has been identified as a potential technical breakout candidate based on our screening methodology. The stock shows strong technical health and a favorable setup pattern, making it an interesting prospect for traders. Below, we examine the key factors contributing to this assessment.

Technical Strength

• Technical Rating of 8: EW scores well above average, indicating a healthy uptrend. Both short-term and long-term trends are positive, reinforcing the bullish case.
• Moving Averages Aligned: The stock trades above its 20-day, 50-day, 100-day, and 200-day moving averages, confirming sustained upward momentum.
• Recent Performance: Over the past three months, EW has gained 10.7%, outperforming many peers in the Health Care Equipment & Supplies industry.

Setup Quality

• Setup Rating of 9: The stock is consolidating within a tight range (73.61 - 78.75), suggesting a potential breakout opportunity.
• Support and Resistance: A clear resistance zone sits at 78.04-78.22. A move above this level could signal further upside. Support is strong near 77.45, providing a logical stop-loss area.
• Pocket Pivot Signal: Recent price action shows accumulation, a bullish indicator for traders.

Trading Considerations

• Entry Point: A breakout above 78.23 could serve as an entry trigger.
• Exit Strategy: A stop-loss below 76.47 limits downside risk to 2.25%.
• Liquidity: With an average daily volume of 4.8 million shares, EW offers sufficient liquidity for active traders.

For a deeper technical analysis, review the full technical report for EW.

Our Technical Breakout Setups screener lists more potential breakout candidates and is updated daily.

Disclaimer

This is not investment advice. Always conduct your own research and consider risk management before making trading decisions.