By Mill Chart
Last update:
Technical breakout investing focuses on identifying stocks with strong momentum and consolidation patterns, signaling potential upward moves. Fastenal Co (NASDAQ:FAST) currently presents a compelling setup, combining a high technical rating with a favorable consolidation pattern.
Fastenal Co (NASDAQ:FAST) distributes fasteners, tools, and industrial supplies, serving various sectors including construction, manufacturing, and transportation. The company has demonstrated resilience in its market, reflected in its recent stock performance.
The stock holds a Technical Rating of 9, indicating strong upward momentum. Both short-term and long-term trends are positive, with the stock outperforming 88% of the market over the past year. Additionally, it trades near the upper end of its 52-week range, reinforcing its relative strength.
The Setup Rating of 8 suggests a consolidation phase, often a precursor to a breakout. Recent price action shows reduced volatility, and a pullback offers a potential entry point. A support zone around $79.02 provides a logical stop-loss level, while resistance lies near $81.66, a key breakout threshold.
For a deeper analysis, review the full technical report.
A potential trade setup suggests an entry above $81.66, with a stop-loss below $78.84. The risk-reward ratio remains favorable, with a limited downside of 3.45%. However, traders should assess broader market conditions—while the S&P 500 shows short-term positivity, its long-term trend remains negative.
For more breakout opportunities, explore the Technical Breakout Setups Screen.