Indications Suggest NYSE:WRK Could Be on the Verge of a Breakout.

WESTROCK CO (NYSE:WRK) 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:WRK.

Zooming in on the technicals.

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

We assign a technical rating of 8 out of 10 to WRK. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, WRK is only an average performer.

• The long and short term trends are both positive. This is looking good!
• WRK is part of the Containers & Packaging industry. There are 23 other stocks in this industry. WRK outperforms 86% of them.
• WRK 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 WRK is performing more or less in line with the market.
• In the last month WRK has a been trading in the 34.95 - 37.54 range, which is quite wide. It is currently trading near the high of this range.
• Looking at the yearly performance, WRK did better than 90% of all other stocks. However, this overall good ranking is mostly due to the recent strong move.

Our latest full technical report of WRK contains the most current technical analsysis.

How do we evaluate the setup for NYSE:WRK?

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:WRK currently has a 8 as setup rating:

Besides having an excellent technical rating, WRK 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 36.95. Right above this resistance zone may be a good entry point.

How can NYSE:WRK be traded?

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.

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents technical observations generated by automated analysis but does not guarantee any trading outcomes. Always trade responsibly and make independent judgments.

More breakout setups can be found in our Breakout screener.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.