NYSE:SCHW Shows Potential for a Breakout.

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

Analyzing the Technical Aspects

As part of its analysis, ChartMill provides a comprehensive Technical Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various technical indicators and properties.

We assign a technical rating of 8 out of 10 to SCHW. Although SCHW is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• Both the short term and long term trends are positive. This is a very positive sign.
• SCHW is currently showing a bull flag pattern! A bull flag pattern occurs when prices pull back slightly after a strong rise up. This may be a nice opportunity for an entry.
• When comparing the performance of all stocks over the past year, SCHW turns out to be only a medium performer in the overall market: it outperformed 50% of all stocks.
• SCHW is an average performer in the Capital Markets industry, it outperforms 50% of 207 stocks in the same industry.
• SCHW is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so SCHW is lagging the market.

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

How does the Setup look for NYSE:SCHW

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. NYSE:SCHW scores a 8 out of 10:

SCHW has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. A pullback is taking place, which may present a nice opportunity for an entry. There is a resistance zone just above the current price starting at 70.15. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 67.22, a Stop Loss order could be placed below this zone.

Trading setups like NYSE:SCHW

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.

Disclaimer: This article is not intended to provide trading advice. It is crucial to conduct your own analysis and consider your own observations and trading style when making investment decisions. The article solely presents technical observations and should not be relied upon as a sole basis for trading.

More breakout setups can be found in our Breakout screener.

Disclaimer

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.