Interesting Technical Analysis finding for SPROUTS FARMERS MARKET INC (NASDAQ:SFM)

SPROUTS FARMERS MARKET INC (NASDAQ:SFM) has been identified as a Technical Breakout Setup Pattern by our stock screener. This pattern typically occurs when a stock takes a pause after a significant rise, indicating the possibility of a continuation in the trend. While it's impossible to predict with certainty, it might be beneficial to monitor NASDAQ:SFM.

What is the technical picture of NASDAQ:SFM telling us.

ChartMill assigns a proprietary Technical Rating to each stock. The score is computed daily by evaluating various technical indicators and properties. The score ranges from 0 to 10.

Overall SFM gets a technical rating of 8 out of 10. In the last year, SFM was one of the better performers, but we do observe some doubts in the very recent evolution.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• Looking at the yearly performance, SFM did better than 90% of all other stocks. We also observe that the gains produced by SFM over the past year are nicely spread over this period.
• SFM is part of the Consumer Staples Distribution & Retail industry. There are 41 other stocks in this industry. SFM outperforms 95% of them.
• SFM 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 SFM is performing more or less in line with the market.
• In the last month SFM has a been trading in the 36.21 - 39.73 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 SFM

How does the Setup look for NASDAQ:SFM

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, NASDAQ:SFM exhibits a 9 setup rating, indicating its consolidation status in recent days and weeks.

Besides having an excellent technical rating, SFM also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 40.08. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 38.32, a Stop Loss order could be placed below this zone. Very recently a Pocket Pivot signal was observed. This is another positive 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.

Of course, there are many ways to trade or not trade NASDAQ:SFM 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.

Our Breakout screener lists more breakout setups and is updated daily.

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.