Promising Signs: NISOURCE INC Setting the Stage for a Breakout.

We've identified NISOURCE INC (NYSE:NI) as a potential breakout candidate based on our stock screener's analysis. This breakout setup pattern suggests that after a strong uptrend, the stock is currently consolidating, potentially signaling a continuation of the trend. Keep an eye on NYSE:NI for further developments.

In-Depth Technical Analysis of NYSE:NI

ChartMill assigns a Technical Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple technical indicators and properties.

Overall NI 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, NI is showing a nice and steady performance.

• The long and short term trends are both positive. This is looking good!
• When comparing the yearly performance of all stocks, we notice that NI is one of the better performing stocks in the market, outperforming 78% of all stocks. We also observe that the gains produced by NI over the past year are nicely spread over this period.
• NI is one of the better performing stocks in the Multi-Utilities industry, it outperforms 91% of 25 stocks in the same industry.
• NI is currently trading near its 52 week high, which is a good sign. The S&P500 Index however is also trading near new highs, which makes the performance in line with the market.
• In the last month NI has a been trading in the 30.49 - 32.38 range, which is quite wide. It is currently trading near the high of this range.

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

Looking at the Setup

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NYSE:NI currently holds a 9 as its setup rating, suggesting a particular level of consolidation in the stock.

NI has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 31.91. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 31.44, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

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.

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.

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.