Good technical signals and a possible breakout for EDWARDS LIFESCIENCES CORP.

EDWARDS LIFESCIENCES CORP (NYSE:EW) 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:EW.

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

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.

Overall EW gets a technical rating of 7 out of 10. EW has been a medium performer in the overall market. Some doubts are observed in the medium time frame, but recent action was very positive.

• The long term trend is still neutral, but the short term trend is positive, so the stock is getting more and more appreciated by traders and investors.
• In the last month EW has a been trading in the 69.35 - 75.27 range, which is quite wide. It is currently trading near the high of this range.
• When comparing the performance of all stocks over the past year, EW turns out to be only a medium performer in the overall market: it outperformed 62% of all stocks.
• EW is an average performer in the Health Care Equipment & Supplies industry, it outperforms 68% of 187 stocks in the same industry.
• EW is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so EW is lagging the market slightly.
• Volume is considerably higher in the last couple of days.

For an up to date full technical analysis you can check the technical report of EW

Why is NYSE:EW a setup?

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NYSE:EW scores a 9 out of 10:

Besides having an excellent technical rating, EW also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 74.82. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 73.50, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading breakout setups.

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

Disclaimer: This article is not intended to provide trading advice. It is crucial to conduct your own analysis and consider your own observations and trading style when making investment decisions. The article solely presents technical observations and should not be relied upon as a sole basis for trading.

More breakout setups can be found in our Breakout screener.

Disclaimer

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.