Will FRONTIER COMMUNICATIONS PARE breakout?

FRONTIER COMMUNICATIONS PARE (NASDAQ:FYBR) was identified as a Technical Breakout Setup Pattern by our stockscreener. Such a pattern occurs when we see a pause in a strong uptrend: after a strong rise the stock is consolidating a bit and at some point the trend may be continued. Whether this actually happens can not be predicted of course, but it may be a good idea to keep and eye on NASDAQ:FYBR.

Zooming in on the technicals.

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

Taking everything into account, FYBR scores 7 out of 10 in our technical rating. In the last year, FYBR was an average performer in the market. There are positive signs in the very recent evolution, but the medium term picture is still mixed.

• The long term trend is still neutral, but the short term trend is positive, so the stock is getting more and more appreciated by traders and investors.
• In the last month FYBR has a been trading in the 24.37 - 26.59 range, which is quite wide. It is currently trading near the high of this range.
• When compared to the yearly performance of all other stocks, FYBR outperforms 61% of them, which is more or less in line with the market.
• FYBR is part of the Diversified Telecommunication Services industry. There are 43 other stocks in this industry, FYBR did better than 67% of them.
• FYBR is currently trading in the middle of its 52 week range. This is in line with the S&P500 Index, which is also trading in the middle of its range.

Looking at the Setup

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NASDAQ:FYBR scores a 9 out of 10:

FYBR 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 resistance zone just above the current price starting at 26.98. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 25.7, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading breakout setups.

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.

Of course, there are many ways to trade or not trade NASDAQ:FYBR and this article should in no way be interpreted as trading advice. The article is purely based on an automated technical analysis and just points out the technical observations. Always make your own analysis and trade at your own responsibility.

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