A Technical Look At These 4 Retailers
With earnings season winding down and many top retailers having reported their numbers, let's take a quick look at four of the top publicly traded retail companies in the marketplace.
Macy's, Inc. (NYSE: M)
Macy's stock appears to be in the "c" wave of an upside "abc" correction with a projected ceiling of $60.55. Macy's has support at $56.30 (recent pivot) and $54.84 (horizontal line support) and its long-term uptrend line is present down at around $48-$50. The stock is not a market leader at this point, but it does appear to be a fruitful environment for traders willing to play nimbly.
Sellers and shorts will be taking their shots at around $60-$60.55 with stops on any close above $60.55. Buyers will be trying to enter on bad news and a subsequent sell-off to around $51 (where the uptrend line will come into play in all likelihood).
Overall, the messages coming from Macy's look neutral.
Tiffany & Co (NYSE: TIF)
Tiffany has rallied beautifully off of the October 15 low of around $85 and seems, according to technicians, to be on a track to test out projected resistance at around $103.20. That level represents horizontal line resistance as well as the projected target for the "c" wave of what could be an "abc" upside correction.
The bears would need to see $94 broken on the downside to start regaining their mojo. Below the recent low, $84.12 comes into play as additional support.
Overall, the stock can be claissfied as bullish for the consumer in the short-term.
Nordstrom, Inc. (NYSE: JWN)
Nordstrom is the picture of technical bullishness, especially with its weekly chart. That being noted, the stock is overbought short-term and is running into a projected ceiling at $74.40. So, technicians note that it may be in for a pause or mild pullback before making a run at the upper edge of the long-term uptrend channel at around $90.
If the stock does pull back as expected, the first two support levels at which buyers will be looking to enter come in at $70.22 and $66.81. Above the $74.40 level, there's nothing but clear skies, meaning the stock will only be limited by overbought conditions and profit-taking.
Overall, this is a bullish tell for the consumer's attitude.
Guess?, Inc. (NYSE: GES)
Guess shares are at a long-term crossroads. The stock must hold up above horizontal line and uptrend line support on the monthly chart at $21.28, especially on a monthly basis, or it could be in for a catastrophic fall. If that level of support is violated, then shares may eventually make it all the way down to the $7-$8 area, which represents the Fibonacci projection for what the bears see as a developing "abc" downside move.
On the other hand, if Guess holds support, it could easily see a move up to the first two macro targets at $27 or $34.26, both horizontal lines created by recent monthly closing peaks.
Overall, Guess paints an ugly picture for the consumer in general, but the teen consumer in particular. However, it could also simply be a case of poor merchandising on the part of Guess management.
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