Will T-MOBILE US INC breakout?

We've identified T-MOBILE US INC (NASDAQ:TMUS) 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 NASDAQ:TMUS for further developments.

Deciphering the Technical Picture of NASDAQ:TMUS

ChartMill utilizes a proprietary algorithm to assign a Technical Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of technical indicators and properties.

Taking everything into account, TMUS scores 7 out of 10 in our technical rating. Although TMUS is only a medium performer in the overall market, the technical picture looks good in both the medium and short term time frames.

• Both the short term and long term trends are positive. This is a very positive sign.
• TMUS 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 TMUS is performing more or less in line with the market.
• When compared to the yearly performance of all other stocks, TMUS outperforms 66% of them, which is more or less in line with the market.
• TMUS is part of the Wireless Telecommunication Services industry. There are 22 other stocks in this industry, TMUS did better than 47% of them.
• In the last month TMUS has a been trading in a tight range between 159.14 and 165.19.

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

Why is NASDAQ:TMUS a 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:TMUS currently has a 9 as setup rating:

Besides having an excellent technical rating, TMUS also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 165.17. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 163.41, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading setups like NASDAQ:TMUS

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.

Please note that this article should not be construed as trading advice. The information provided is solely based on automated technical analysis and serves to highlight technical observations. It is important to conduct your own analysis and make trading decisions based on your own judgment and responsibility.

More breakout setups can be found in our Breakout screener.

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.