Interesting Technical Analysis finding for COPART INC (NASDAQ:CPRT)

Our stock screener has detected a potential breakout setup on COPART INC (NASDAQ:CPRT). 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 NASDAQ:CPRT.

Technical analysis of NASDAQ:CPRT

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.

Taking everything into account, CPRT scores 8 out of 10 in our technical rating. This is due to a consistent performance in both the short and longer term time frames. Also compared to the overall market, CPRT 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, CPRT did better than 93% of all other stocks. We also observe that the gains produced by CPRT over the past year are nicely spread over this period.
• CPRT is one of the better performing stocks in the Commercial Services & Supplies industry, it outperforms 92% of 79 stocks in the same industry.
• CPRT 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 CPRT is performing more or less in line with the market.
• In the last month CPRT has a been trading in the 42.80 - 45.64 range, which is quite wide. It is currently trading near the high of this range.
• Volume is considerably higher in the last couple of days.

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

Looking at the Setup

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. NASDAQ:CPRT currently has a 9 as setup rating:

CPRT 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 a resistance zone just above the current price starting at 45.60. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 44.68, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

How can NASDAQ:CPRT be traded?

One way to play this would be to wait for the actual breakout to happen and buy when the stock breaks out above the current consolidation zone. A possible place for a stop loss would be below this zone.

Of course, there are many ways to trade or not trade NASDAQ:CPRT and this article should in no way be interpreted as trading advice. The article is purely based on an automated technical analysis and just points out the technical observations. Always make your own analysis and trade at your own responsibility.

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

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.