NYSE:WFC may be ready to breakout.

A possible breakout setup was detected on WELLS FARGO & CO (NYSE:WFC) by our stockscreener. A breakout pattern is formed when a stock consolidates after a strong rise up. We note that this pattern is detected purely based on technical analysis and whether the breakout actually materializes remains to be seen. It could be interesting to keep an eye on NYSE:WFC.

Deciphering the Technical Picture of NYSE:WFC

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

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

• The long and short term trends are both positive. This is looking good!
• When comparing the yearly performance of all stocks, we notice that WFC is one of the better performing stocks in the market, outperforming 88% of all stocks. On top of that, WFC also shows a nice and consistent pattern of rising prices.
• WFC is one of the better performing stocks in the Banks industry, it outperforms 91% of 411 stocks in the same industry.
• WFC 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 WFC has a been trading in a tight range between 59.12 and 62.55.

Check the latest full technical report of WFC for a complete technical analysis.

Looking at the Setup

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

Besides having an excellent technical rating, WFC 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 a resistance zone just above the current price starting at 61.90. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 61.42, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading setups like NYSE:WFC

A breakout opportunity may arise when the stock surpasses the current consolidation zone and reaches new highs. Traders often wait for this breakout before considering buying the stock. To manage risk, a stop loss order could be placed below the consolidation zone to limit potential losses.

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.

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

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.