NYSE:STAG may be ready to breakout.

A possible breakout setup was detected on STAG INDUSTRIAL INC (NYSE:STAG) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:STAG.

Technical analysis of NYSE:STAG

ChartMill assigns a proprietary Technical Rating to each stock. The score is computed daily by evaluating various technical indicators and properties. The score ranges from 0 to 10.

Overall STAG gets a technical rating of 8 out of 10. Although STAG 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!
• STAG 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, STAG turns out to be only a medium performer in the overall market: it outperformed 43% of all stocks.
• STAG is an average performer in the Equity Real Estate Investment Trusts (REITs) industry, it outperforms 57% of 217 stocks in the same industry.
• STAG 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.

How does the Setup look for NYSE:STAG

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:STAG scores a 9 out of 10:

Besides having an excellent technical rating, STAG 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 35.0. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 34.67, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for STAG in the last couple of days, which is a good sign.

Trading breakout setups.

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.

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