is attempting to break out of a base on base pattern this week. After reporting earnings
the week of 7/25, it spent the past month consolidating on low volume
and within a tight trading range. Compare the length and depth of the current base to that of the immediate prior base. Note that the current base is both shorter and shallower. This is exactly what you want to see in a base on base pattern. The breakout is also coming on heavy volume
. Finally, note that the RS
line is hitting fresh highs along with price. All of this makes for constructive action.