NYSE:ANF may be ready to breakout.

Our stock screener has detected a potential breakout setup on ABERCROMBIE & FITCH CO-CL A (NYSE:ANF). This breakout pattern is observed when a stock consolidates following a strong upward movement. It's important to note that this pattern is based on technical analysis, and the actual breakout outcome is uncertain. However, it might be worth keeping an eye on NYSE:ANF.

What is the technical picture of NYSE:ANF telling us.

Every day ChartMill assigns a Technical Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple technical indicators and properties.

Overall ANF gets a technical rating of 10 out of 10. This is due to a consistent performance in both the short and longer term time frames. Also compared to the overall market, ANF is showing a nice and steady performance.

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, ANF did better than 99% of all other stocks. On top of that, ANF also shows a nice and consistent pattern of rising prices.
• ANF is part of the Specialty Retail industry. There are 133 other stocks in this industry. ANF outperforms 100% of them.
• ANF is currently trading near its 52 week high. This is a good sign, certainly because the S&P500 Index is not trading near new highs.
• ANF 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.

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

Looking at the Setup

ChartMill takes into account not only the Technical Rating but also assigns a Setup Rating to each stock. This rating, on a scale of 0 to 10, reflects the degree of consolidation observed based on short-term technical indicators. Currently, NYSE:ANF exhibits a 9 setup rating, indicating its consolidation status in recent days and weeks.

ANF has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. A pullback is taking place, which may present a nice opportunity for an entry. There is very little resistance above the current price. There is a support zone below the current price at 59.84, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for ANF in the last couple of days, which is a good sign. Another positive sign is the recent Pocket Pivot signal.

How can NYSE:ANF be traded?

A breakout opportunity may arise when the stock surpasses the current consolidation zone and reaches new highs. Traders often wait for this breakout before considering buying the stock. To manage risk, a stop loss order could be placed below the consolidation zone to limit potential losses.

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.

Every day, new breakout setups can be found on ChartMill in our Breakout screener.

Disclaimer

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.