In-Depth Technical Analysis of WARNER MUSIC GROUP CORP-CL A.

Our stock screener has identified WARNER MUSIC GROUP CORP-CL A (NASDAQ:WMG) as a potential breakout candidate. This technical breakout setup pattern occurs when the stock consolidates after a strong uptrend. While the actual breakout is uncertain, it may be worth keeping an eye on NASDAQ:WMG.

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

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.

Taking everything into account, WMG scores 8 out of 10 in our technical rating. This is due to a decent performance in both the short and medium term time frames. Compared to the overall market, WMG is only an average performer.

• Both the short term and long term trends are positive. This is a very positive sign.
• In the last month WMG has a been trading in the 31.11 - 33.24 range, which is quite wide. It is currently trading near the high of this range.
• When compared to the yearly performance of all other stocks, WMG outperforms 53% of them, which is more or less in line with the market.
• WMG is part of the Entertainment industry. There are 72 other stocks in this industry, WMG did better than 60% of them.
• WMG is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so WMG is lagging the market.

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

How does the Setup look for NASDAQ:WMG

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. NASDAQ:WMG currently holds a 9 as its setup rating, suggesting a particular level of consolidation in the stock.

Besides having an excellent technical rating, WMG also presents a decent setup pattern. Prices have been consolidating lately. There is very little resistance above the current price. There is a support zone below the current price at 32.79, a Stop Loss order could be placed below this zone. Another positive sign is the recent Pocket Pivot signal.

Trading breakout setups.

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

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.