Stock of the day: Garmin

In the bustling world of stock trading, certain events demand immediate attention. A recent development with Garmin is one such event, necessitating a revisit to a stock we’ve analyzed several times in the recent past.

Garmin has been on our radar predominantly due to its intriguing sideways trend pattern over the past few months. The stock has been fluctuating within a relatively tight range, locked between a horizontal resistance at $108 and support, both horizontal at $101 and dynamic, characterized by a black uptrend line.

However, change is the only constant in the market. As of yesterday, Garmin’s stock indicated a marked deviation from this sideways pattern. The convergence of the black uptrend line and the $108 resistance, depicted in orange, formed an ascending triangle pattern. Such a formation often signals an imminent breakout or breakdown.

And Garmin did not disappoint. Thursday saw the stock breaking below the black uptrend line, sending traders a definitive mid-term sell signal. While an immediate target for this downward trajectory is the $101 support, there’s an underpinning sentiment that if bearish momentum in the market continues, Garmin could very well breach this support too. A move like that could potentially unlock a more long-term selling spree.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-garmin-5