Two Higher, Two Lower

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By Harry Boxer – – Retailers lead our list of top charts to watch, while two technology stocks lead on the short side.

Lululemon Athletica Inc. (LULU) sprinted up 9%, or $7.25, to close at $85.96 on extremely heavy volume of 10.7 million shares traded Wednesday.  That’s more than five times its average volume. The jump up came with the athletic apparel company’s better-than-expected earnings announcement and 2018 outlook.  The move broke the stock out of a bull wedge consolidation, reaching a new all-time high of $87.98 intraday. Next target: $94.

Macy’s, Inc. (M) moved up 4%, or $1.21, closing at $29.07 on 11 million shares traded. The move came with news that President Trump is considering legal action against competitor Amazon that favors traditional department stores. The stock reached a bottom right before its November 9 earnings announcement and has been on its way back up ever since. Price is currently sitting in a bull flag consolidation pattern, showing significant potential for another leg up. Next target: $34.50.

On the short side, Advanced Energy Industries, Inc. (AEIS) moved down 69 cents and closed at $62.32 on light volume of 327,595 shares traded. The stock has broken down from a classic head-and-shoulders topping pattern that peaked above $94 last October. Price dropped down through a bear flag consolidation last week. The power-tech company’s CFO resigned on Jan. 26. The stock has lost 31% of its value since October 27. Next target: $51.

Take-Two Interactive Software, Inc. (TTWO) declined by 58 cents to close at $97.46 on heavy volume of 4.2 million shares traded Wednesday. Price is breaking down from a head-and-shoulders topping formation that peaked above $129 on February 1 and broke below the $100 mark last Friday. The interactive entertainment stock has been driven down with its peers in the gaming sector of late. Next target: $88.