Looks like some were not happy with earnings.
There was a possible head and shoulders pattern prior to the deep pull back.
Now there is a falling wedge which can be bullish when price breaks up and out of the upper trendline. A falling wedge slopes against the trend and converges at the apex. LULU has not broken upper trendline of the wedge.
The falling wedge pattern is interpreted as both a bullish continuation and bullish reversal pattern.
The differentiating factor that separates the continuation and reversal pattern is the direction of the trend when the falling wedge appears. A falling wedge is a continuation pattern if it appears in an uptrend and is a reversal pattern when it appears in a downtrend.
Falling wedges are formed
No recommendation
There was a possible head and shoulders pattern prior to the deep pull back.
Now there is a falling wedge which can be bullish when price breaks up and out of the upper trendline. A falling wedge slopes against the trend and converges at the apex. LULU has not broken upper trendline of the wedge.
The falling wedge pattern is interpreted as both a bullish continuation and bullish reversal pattern.
The differentiating factor that separates the continuation and reversal pattern is the direction of the trend when the falling wedge appears. A falling wedge is a continuation pattern if it appears in an uptrend and is a reversal pattern when it appears in a downtrend.
Falling wedges are formed
No recommendation
Note
There are some long legged dojis reaching for support and seems they are finding it at 298ish. Also looks like firmer support at 289.7ish.This one is shooting down like a missile and it is hard to judge when is the right time to buy. DG did the same thing after earnings were received negatively and then shot up the next day. It does not always happen that way. DG and LULU are two totally different type stocks and a lot depends on the market mood. Sometimes best to be sure the low is the low. Sux Rox deciding sometimes!
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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.