07Dec10:53 amEST

Guess Where Else You Will See Shoppers Wearing Lululemon?

On the back (no pun intended) of LULU surging after earnings this morning, one cannot help but conjure up images such as the one above, with LULU practically the team uniform for plenty of Whole Foods' shoppers in suburbia. 

Indeed, much as correctly been made of the Jeff Bezos/AMZN and Whole Foods' synergies after the buyout earlier this year. Lest we forget, however, that the health food grocer market still has plenty of pieces of the organic, non-GMO, gluten-free pie to go around. 

As evidence of that last assertion, consider Sprouts Farmers Market Inc., below on the daily chart. 

SFM has a mere $3 billion market cap which could easily double from here without most major cities in this country even aware that Sprouts even exists, which goes to show the room for growth. Of course, if WMT or some other AMZN competitor wants to snatch them up that is always a nice bonus for bulls.

But the main issue for us this morning is that SFM is sporting a sound daily chart, much-improved from a recent correction. Note price flagging now after its recent rally. Everything should be fine if $22 holds, going forward.

And we shall see about the sugar-free icing on top regarding a buyout, in due time. 

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