Good technical signals and a possible breakout for PROGRESSIVE CORP.

Our stock screener has spotted PROGRESSIVE CORP (NYSE:PGR) 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:PGR.

Technical analysis of NYSE:PGR

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.

Overall PGR gets a technical rating of 8 out of 10. Both in the recent history as in the last year, PGR has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• When comparing the yearly performance of all stocks, we notice that PGR is one of the better performing stocks in the market, outperforming 92% of all stocks. On top of that, PGR also shows a nice and consistent pattern of rising prices.
• PGR is one of the better performing stocks in the Insurance industry, it outperforms 89% of 135 stocks in the same industry.
• PGR 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 PGR slightly outperforms the market at the moment.
• In the last month PGR has a been trading in the 133.68 - 146.50 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

How does the Setup look for NYSE:PGR

Besides the Technical Rating, ChartMill also assign a Setup Rating to every stock. This setup score also ranges from 0 to 10 and determines to which extend the stock is consolidating. This is achieved by evaluating multiple short term technical indicators. NYSE:PGR currently has a 9 as setup rating:

Besides having an excellent technical rating, PGR also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 145.61. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 141.04, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for PGR in the last couple of days, which is a good sign.

How can NYSE:PGR be traded?

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.

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.

Every day, new breakout setups can be found on ChartMill in our Breakout analyzer.