Trend Overview:
LULU has been in a clear downtrend since its peak near $516, forming consistent lower highs and lower lows.
Price is currently in the $200–$209 zone, sitting just above the long-term support area around $186.
Support & Resistance Levels:
Immediate Support: $200 → $186 (critical support).
Overhead Resistance: $240 (short-term), $263.9 (Fib zone), $290–312 (EMA cluster + horizontal supply).
Major Resistance: $351 → $390 → $445.
Indicators:
PMO (top grid): Still bearish, both lines sloping down, no crossover yet.
RSI (bottom grid): At 39, weak but not extremely oversold. Suggests pressure remains, though a short-term bounce is possible if support holds.
Bullish Case:
A rebound could come from the $200–$186 support zone, targeting $240–$264 initially.
For medium-term trend change, bulls need a decisive reclaim above $290–312.
Bearish Case:
A clean break below $186 would confirm another leg down, with risk toward the $150–160 zone.
Until price clears $264–$290, the broader trend remains bearish.
Earnings Catalyst:
Results are due on September 4th. Earnings could act as a volatility trigger. Staying cautious into results is important, as a surprise to the downside could break $186 support, while a strong beat could fuel a sharp bounce.
Risk/Reward Assessment (Long Side):
Entry Zone: $200–$186 support offers defined risk for a potential long.
Stop-Loss: Below $185.95 (structural invalidation).
Upside Targets: $240 (short-term), $263–$290 (swing).
Risk/Reward Ratio: Roughly 1:2 to 1:3 if entering near $190–200 with targets at $240–263.
Summary:
Trend remains bearish, but LULU is testing long-term support where risk/reward favors cautious long entries, provided stops are respected.
If $186 breaks, long setups are invalidated.
With earnings on Sep 4, traders should be careful as volatility may swing price sharply in either direction.
LULU has been in a clear downtrend since its peak near $516, forming consistent lower highs and lower lows.
Price is currently in the $200–$209 zone, sitting just above the long-term support area around $186.
Support & Resistance Levels:
Immediate Support: $200 → $186 (critical support).
Overhead Resistance: $240 (short-term), $263.9 (Fib zone), $290–312 (EMA cluster + horizontal supply).
Major Resistance: $351 → $390 → $445.
Indicators:
PMO (top grid): Still bearish, both lines sloping down, no crossover yet.
RSI (bottom grid): At 39, weak but not extremely oversold. Suggests pressure remains, though a short-term bounce is possible if support holds.
Bullish Case:
A rebound could come from the $200–$186 support zone, targeting $240–$264 initially.
For medium-term trend change, bulls need a decisive reclaim above $290–312.
Bearish Case:
A clean break below $186 would confirm another leg down, with risk toward the $150–160 zone.
Until price clears $264–$290, the broader trend remains bearish.
Earnings Catalyst:
Results are due on September 4th. Earnings could act as a volatility trigger. Staying cautious into results is important, as a surprise to the downside could break $186 support, while a strong beat could fuel a sharp bounce.
Risk/Reward Assessment (Long Side):
Entry Zone: $200–$186 support offers defined risk for a potential long.
Stop-Loss: Below $185.95 (structural invalidation).
Upside Targets: $240 (short-term), $263–$290 (swing).
Risk/Reward Ratio: Roughly 1:2 to 1:3 if entering near $190–200 with targets at $240–263.
Summary:
Trend remains bearish, but LULU is testing long-term support where risk/reward favors cautious long entries, provided stops are respected.
If $186 breaks, long setups are invalidated.
With earnings on Sep 4, traders should be careful as volatility may swing price sharply in either direction.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.