Is KYNDRYL HOLDINGS INC Ready to Break Out of Its Range?

Our stock screener has flagged KYNDRYL HOLDINGS INC (NYSE:KD) as a potential breakout candidate. This occurs when the stock shows signs of consolidation after a notable upward trend. While we can't predict the actual breakout, it's worth monitoring NYSE:KD for potential movement.

What is the technical picture of NYSE:KD 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.

Taking everything into account, KD scores 10 out of 10 in our technical rating. Both in the recent history as in the last year, KD has proven to be a steady performer, scoring decent points in every aspect analyzed.

• The long term trend is positive and the short term trend is neutral. The long term trend gets the benefit of the doubt for now.
• When comparing the yearly performance of all stocks, we notice that KD is one of the better performing stocks in the market, outperforming 97% of all stocks. On top of that, KD also shows a nice and consistent pattern of rising prices.
• KD is part of the IT Services industry. There are 83 other stocks in this industry. KD outperforms 93% of them.
• KD is currently trading in the upper part of its 52 week range. The S&P500 Index however is currently trading near a new high, so KD is lagging the market slightly.
• In the last month KD has a been trading in the 24.73 - 27.09 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

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

How do we evaluate the setup for NYSE:KD?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the extent of consolidation in the stock based on multiple short-term technical indicators. Currently, NYSE:KD has a 9 as its setup rating:

Besides having an excellent technical rating, KD 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 26.23, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for KD in the last couple of days, which is a good sign.

Trading breakout setups.

For a potential trade one would typically wait until the stock breaks out of the consolidation zone to enter the stock and it could be sold again for a loss when it would fall back below the zone.

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.

More breakout setups can be found in our Breakout screener.

Keep in mind

This article should in no way be interpreted as advice. 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.