Walmart ($WMT) Daily: Walmart is certainly going against the trend of other retailers, who have, by in large, suffered a downturn in retail. Companies like $TGT seen their stock price drop in the same period of about 10-12%, starting in Feb 2017. This is also evident in the Retail ETF $XRT which have done well for many years but started to turn over in early 2015.
However, we can see that $WMT is on the last Elliot Wave pattern, Wave 5 of a Five month run up, and although it may extend this gain to $82-ish price, investors and traders should be wary that in the last Wave, this projection can be cut short. Certainly we see a lower RSI level compared to the previous wave 3 and the MACD rolling over. These technical levels and their momentum should be carefully watched, as price is sure to follow with a negative tune in the next few weeks. Break below $77 support level would be a good indicator of change in momentum and corrective wave to follow. Also keep eye on the Head and Shoulder-ish pattern that’s visible in the last wave and the corresponding neckline support that it provides.
However, we can see that $WMT is on the last Elliot Wave pattern, Wave 5 of a Five month run up, and although it may extend this gain to $82-ish price, investors and traders should be wary that in the last Wave, this projection can be cut short. Certainly we see a lower RSI level compared to the previous wave 3 and the MACD rolling over. These technical levels and their momentum should be carefully watched, as price is sure to follow with a negative tune in the next few weeks. Break below $77 support level would be a good indicator of change in momentum and corrective wave to follow. Also keep eye on the Head and Shoulder-ish pattern that’s visible in the last wave and the corresponding neckline support that it provides.
Comment:
Walmart currently breaking through that head and shoulder-ish pattern on Wave 5.