Good technical signals and a possible breakout for WALMART INC.

WALMART INC (NYSE:WMT) 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 NYSE:WMT.

Analyzing the Technical Aspects

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

Overall WMT gets a technical rating of 7 out of 10. This is due to a consistent overall performance, although we see some doubts in the very recent evolution. In the medium time frame things are still looking good.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• Looking at the yearly performance, WMT did better than 84% of all other stocks. We also observe that the gains produced by WMT over the past year are nicely spread over this period.
• WMT is one of the better performing stocks in the Consumer Staples Distribution & Retail industry, it outperforms 86% of 45 stocks in the same industry.
• WMT 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 WMT is performing more or less in line with the market.
• In the last month WMT has a been trading in the 151.65 - 164.71 range, which is quite wide. It is currently trading near the high of this range.

For an up to date full technical analysis you can check the technical report of WMT

How does the Setup look for NYSE:WMT

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:WMT this score is currently 8:

Besides having an excellent technical rating, WMT 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 164.65. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 160.63, a Stop Loss order could be placed below this zone.

Trading setups like NYSE:WMT

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.

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.

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

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.