Technical Signals Point to a Possible Breakout for TAPESTRY INC.

Our stock screener has spotted TAPESTRY INC (NYSE:TPR) as a possible breakout candidate. A technical breakout setup pattern occurs when the stock is consolidating after a nice uptrend. Whether the actual breakout occurs remains to be seen of course, but it may be interesting to keep an eye on NYSE:TPR.

Analyzing the Technical Aspects

ChartMill employs a sophisticated system to assign a Technical Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple technical indicators and properties.

We assign a technical rating of 8 out of 10 to TPR. In the last year, TPR was one of the better performers in the market. There are positive signs in the very recent evolution, but the medium term picture is slightly mixed.

• 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.
• Looking at the yearly performance, TPR did better than 81% of all other stocks.
• TPR is one of the better performing stocks in the Textiles, Apparel & Luxury Goods industry, it outperforms 72% of 51 stocks in the same industry.
• In the last month TPR has a been trading in the 38.09 - 42.32 range, which is quite wide. It is currently trading near the high of this range.
• TPR is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so TPR is lagging the market.

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

How do we evaluate the setup for NYSE:TPR?

Next to the Technical Rating, the Setup Rating of a stock determines to which extend the stock is consolidating. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. For NYSE:TPR this score is currently 10:

Besides having an excellent technical rating, TPR also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 42.79. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 41.81, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for TPR in the last couple of days, which is a good sign. Another positive sign is the recent Pocket Pivot signal.

How to trade NYSE:TPR?

To potentially initiate a trade, it is common practice to wait for the stock to break out of the consolidation zone. This breakout signifies a potential upward movement, and traders may enter the stock at that point. Conversely, if the stock falls back below the consolidation zone, it may be sold at a loss.

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.

Keep in mind

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.