Don't Bet on Every Diamond Being Forever

After aspirational high end consumer name Tiffany & Company missed earnings this morning, the stock is down a bit as I write this. 

From a broader perspective, the multi-year timeframe, is a good example of how price has memory on a well-defined basis, going back to 2011 here, for example.

Note the $82 level for TIF (horizontal light blue line) and it significance, as it marked the 2011 highs and late-2013 before converting into support in 2014. 

Even this morning, for example, buyers stepped in below $82 on the open. 

Still, the potential for a major topping out formation is present, especially if $82 continues to be tested, since the more that level is probed the more likely it is to lose its luster as "support." 

If TIF does lose $82 on a weekly closing basis here, I expect it to lead to a swift decline and pressure an already long-in-the-tooth consumer discretionary space after an impressive albeit steep multi-quarter run.