INTEL CORP is showing promising signs of setting up for a breakout.

Our stock screener has identified INTEL CORP (NASDAQ:INTC) as a potential breakout candidate. This technical breakout setup pattern occurs when the stock consolidates after a strong uptrend. While the actual breakout is uncertain, it may be worth keeping an eye on NASDAQ:INTC.

Technical analysis of NASDAQ:INTC

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.

We assign a technical rating of 8 out of 10 to INTC. Although INTC 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!
• INTC is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so INTC is performing more or less in line with the market.
• Looking at the yearly performance, INTC did better than 81% of all other stocks. However, this overall good ranking is mostly due to the recent strong move.
• INTC is an average performer in the Semiconductors & Semiconductor Equipment industry, it outperforms 59% of 105 stocks in the same industry.
• In the last month INTC has a been trading in the 33.23 - 37.19 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

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

Why is NASDAQ:INTC a setup?

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NASDAQ:INTC currently holds a 9 as its setup rating, suggesting a particular level of consolidation in the stock.

Besides having an excellent technical rating, INTC 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 36.12. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 35.00, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for INTC in the last couple of days, which is a good sign.

How to trade NASDAQ:INTC?

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

This article should in no way be interpreted as trading advice. You should always make your own analysis and trade or not trade based on your own observations and style. The article is based purely on some technical observations.

More breakout setups can be found in our Breakout screener.

Keep in mind

This article should in no way be interpreted as advice in any way. 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.